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Question about position limits


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  #1 (permalink)
Demos4x
Portugal
 
Posts: 2 since Dec 2011
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Hello every one.

I have been trading in the forex market but I'm starting to look into the futures market.

Looking at the ninjatrade brokage and i saw there was "Position limits" for what I researched its the limit of contracts that I can have of one kind of future at a time.

I understand the logic and the reasons behind it, but I was looking into the FDAX since it's the product that appeals to me, and the limit is 10 contracts and I thought that's is low, and this is why...
* please bare with me, I probably will talk a lot of crap now, like I said i'm new to the futures market*

Since the cfd of the dax I can enter with 1000(thousand) contracts, according to my calculations its the equivalent of 40 (fourty) contracts on the fdax, so I thought that I could enter with at least 40 contracts in the fdax even though I was expecting slippage with this number of contracts.


Is this really the maximum contracts that I can trade in the FDAX? Or I'm understanding wrong?

I'm from Europe don't know if it changes anything about the limits.

Thank you in advance.


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  #3 (permalink)
 
Massive l's Avatar
 Massive l 
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Usually, any limits that you have on your account can be raised by asking your broker.
I can set in my thinkorswim platform to trade an unlimited number of contracts but
my broker has my cap per trade at 30k. If and when I need more than that, I'll ask them
to raise it. Keeps me from fat fingering a trade.


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  #4 (permalink)
Demos4x
Portugal
 
Posts: 2 since Dec 2011
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Massive l View Post
Usually, any limits that you have on your account can be raised by asking your broker.
I can set in my thinkorswim platform to trade an unlimited number of contracts but
my broker has my cap per trade at 30k. If and when I need more than that, I'll ask them
to raise it. Keeps me from fat fingering a trade.

When you say cap of 30k you are saying 30K in dollars or euros, not 30k in number of contracts, right?


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  #5 (permalink)
 
Massive l's Avatar
 Massive l 
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Yes, 30k USD.


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