My first YG future gold trade and a question

Discussion in 'Commodity Futures' started by forex-forex, Nov 28, 2007.

  1. Last night at 21:41 GMT I entered the following trade through InteractiveBrokers WebTrader:
    • Buy 1 contract YG @ $805.10 with trailing stop @ $786.00.
    • At 6:40 GMT this morning the position was automatically closed at $807.00, for a profit of $63.00.
    My question is why was the position closed? The trailing stop was about $19.00 behind the opening price so wouldn't YG have to reach a price of $826.00 and retrace back to $807.00?
  2. I just checked my email and IB sent me this email:


    This is to inform you that Interactive Brokers liquidated certain positions in your account involving physical delivery futures contracts because these positions were not closed or rolled forward by you prior to the close out deadline. As specified in the IB Customer Agreement, for futures contracts that are not settled in cash but are settled by actual physical delivery of the underlying commodity, customers may not make or receive delivery of the underlying commodity and must close out or roll positions by the close out deadline specified on the IB website (with the exception of certain currency futures contracts where physical delivery of the currency will be allowed).

    The liquidating trades were as follows:

    Sold 1.0 YG DEC 07 on ECBOT at 807.00 USD Wed Nov 28 09:40:50 EST 2007

    To avoid liquidation trades in the future, please consult the IB website, determine the close out deadline, and close out or roll your positions before the deadline.

    Thank you for using Interactive Brokers.


    I will have to study futures a little more.
  3. Gustaf


    How much experience did you tell them youve had when asking for trading permisson?
  4. This was my first future trade and that $63.00 profit was nice. I just got off from IB Chat inquiring about any penalties for liquidated positions and there is none, just the regular commission.
  5. I hear there are some front month far OTM options calling your name. Buy the cheapest ones, they'll move the most.
  6. I might consider ATM options or 1 strike OTM.
  7. Gustaf


    Glad it worked out. To rephrase my question, how much experience is needed for them to enroll you for futures trading.
    Do they take novice 0 years experience.

    (Wanna start out with 1 ES contract).

    Good trading to ya all.

    Br Gustaf
  8. I had to fudge some of the numbers a bit to get the application accepted, I may have changed 0 years to 1 but can't remember the exact details. But you have to trade live to get the feel of it, a demo can only teach you so much.
  9. Gustaf


    I agree papertrading gives nothing, sometimes i use it just to see whats gonna change in the acct, cash, margin etc.
  10. Did you roll over your position into Jan 08 or Feb 08?
    #10     Nov 28, 2007