Hey Jon one thing that you can try versus trading one big contrac. Is to spread i.e. buying a dec corn selling a july corn. It takes a lot of risk out of the futures game. Spreads can e risky (i.e. Amarnath!!) but they are the only way I trade, you cap profits but you cap risk as well. PM me if you have any questions or want any ideas on anything I'm looking at
I too was torn to shreds for asking a simple question last week. They assume one simple question means you don't know anything about anything. Comes with the territory I think, so don't take it personally. You asked why trade futures. Here's why I trade them (index futures in my case): - simple to trade (as far as the mechanics of placing orders go) - as easy to go short as to go long - always a good flow of dumb money coming in, due to the low account minimums and $400 day trade margins being offered by some brokers - preferential (60/40) capital gains tax treatment - better (IMO) to become very familiar with one instrument and trade it well than be all over the market looking for 'opportunities' and lastly ... - not subject to pattern day trading rule! HTH
Let's hope the attack on speculators along with the push for higher taxes from one Presidential candidate and the ruling party in Congress doesn't eliminate this.
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