Low margin requirements for emini overnight

Discussion in 'Commodity Futures' started by outforpaper, Oct 5, 2011.

  1. I'm curious if any of you know of a good futures broker. I'm looking to possibly trade emini unleaded gas futures but I don't want to day trade.. it would be an over night hold.. I'm looking for a broker that will allow me to do this with the least margin requirement to hold over night..

    Any ideas of brokers to start looking at would be great.

    I was scouring the internet the other day and found a place that was talking about lowing margin rates too 1800.00 an 1200.00 to hold over night.. but those prices weren't in effect yet and I can't remember the name of the broker..

    most brokers require 5k down an 4k over night. i'm looking for 4-5k or under total margin for an over night unleaded emini futures contract.

    Thanks for your time
  2. This will be difficult, considering the exchange did away with the unleaded contract a couple years ago. Now its the RBOB contract.

    The exchange sets the minimum amount a brokerage firm can charge for overnight margin, for the mini RBOB its currently set at $5231.25 initial and $3875 maintenence.

    The mini doesn't have any volume in it, so there is no market to trade.

    Good luck, I am wondering why you want to trade this contract, are you trying to hedge your weekly gas consumption?

  3. oh one more thing....

    This drives me crazy, but everytime someone says "eminis" they are always reffering to the S&P mini contract.

  4. JamesL


    Overnight margins are set by the exchange, so I sincerely doubt you will be able to find a broker that does not enforce these minimums at the market close. That being said, look into one of the ubiquitous day trading futures brokers and simply close out the trade right before the close and re-enter it once the market reopens. Most markets settle between 4 and 5pm and then reopen at 6pm (all EDT/EST times). The most you will lose may be a few ticks, but since you are holding overnight, I think a few ticks would not hurt the intended overall performance that you seek.
  5. high99


    Energy futures on the CME/Comex are only closed for 45 minutes. As the poster said, close it out, then reopen. Now it is a daytrade.
  6. bone

    bone ET Sponsor

    Well, for a mini-RBOB contract the slippage would be incredibly ridiculous.

    And using the terms "cheap" and "holding RBOB overnight" are against the law to use in the same post - I mean ... really ?