What are the E-Minis?
The E Minis are US stock indexes such as the S&P 500, Dow Jones and NASDQ. They are traded electronically using a trading platform on your computer.
Daily Trading on the US E Minis exceeds $40 Billion dollars per day. It was launched by the Chicago Board of Trade and is now regarded by leading financial experts as the most successful financial product ever launched.
An E-Mini is a futures contract that can be traded electronically on the Chicago Mercantile Exchange and is based on the S&P 500 index. As opposed to normal S&P futures contracts, which have a point value of $250, the e-mini contract has a point value of $50. Emini is a short abbreviation for Electronic Mini S&P 500.
Who trades E-minis?
In Australia there are only a few hundred people actively trading E-minis with interest in the market growing exponentially. The number of active traders is expected to expand to thousands in the next year or two as many investors and share traders discover that it is simple to profit from trading E-minis.
Why Trade the E Minis?
- Pay just $5.00 US round trip commissions
- No market makers
- No gaps and slippage in market hours
- 65-1 leverage
- 2 points = 10% ROI in minutes
- No over night positions held
- Trade long or short
Shares Vs Options
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Share (1000 shares)
- Investment $10,000
- Share Goes to $11
- Profit 10%
- Share goes to $1
- You lose $9000
- High Risk ($$$$)
- Low Returns
- Long Term
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Option (1000 options)
- Investment $500
- Share Goes to $11
- Profit 100% (Delta 0.5)
- Share goes to $1
- You lose $500
- Lower Risk ($)
- Higher Returns
- Short Term (Income)
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