Monday, October 30, 2006

My First Paper Trade

Bought 13 Australian Dollar contracts @ 0.7675. IB gives you $1M in imaginary play money and the underlying value of an Australian Dollar futures contract is $A100,000. So hedging $US1M into AUD requires 13 contracts. Now I am looking through all the reports generated to try to understand what happened. A bonus of IB is all the contextual help menus are very useful.

2 comments:

paul meyer said...

Your first paper trade! Wow. You have balls if you are trading an account of $340k and this is your first practice paper trade. How much did you start with? Do you trade options?

mOOm said...

I just opened a futures account for the first time with $5000. Just practicing some simulated trades to see how the system works.

I've been investing and trading for about 9 years. I have done lots of options trades over the years. I have some QQQQ puts right now. But I have never traded futures before.