Futures also have an expiry date. I will be interested to see the spread between the physical price and these dates. In traditional futures markets, (exception for equity index futures,) this is reflected as a cost of carry (think buy physical oil now, sell the futures, and store oil for 6 months on a tanker). Even for equity indices there exists a dividends cash flow stream and a fiat currency interest rate. What is going to drive the futures prices? I've read some assumptions that it will be a long / short bias, but it remains to be seen how the longer dated months behave relative to near month and the spot market.
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Did you mean "at these dates" instead of "and these dates"?
Also, where can I get a good "Trading Futures for Dummies" article, please? I am an experienced stock options trader.
sorry yes, "at these date" - Thanks. I believe CME contract offers the front 3 months and a 6 month date. Not sure the CBOE contract specs exactly.
Relative to options trading, the key concept with futures is basis, the difference between spot and futures prices - check out backwardation and contango and you'll get a pretty good handle on things.
Thanks for the tip.
P.S. I am following you now, with the hope that you will keep us abreast of key developments re. the bitcoin futures trading as it unfolds.