[SPX500 Futures - can only see September 2020 expiry]

Hi,

New to futures. I want to take a bet on a december or march 2021 contract, but I cannot see any other than September 2020 which is expiring soon.

Where are the further out futures?

 

[Show multiple entries as one position on chart]

Can anyone tell me if its possible for the chart to show orders rolled into one to give an average price instead of seperate lines on the chart.

Please see image below.

[Combining orders to give average price]

@CharlotteIG could you help me with this please

[Combining orders to give average price]

Just now, Fletch said:

Hmmm, yeh no idea. Perversely, I'd quite like what you have with the multiple entries.

haha! im sure the staff team will let us know tomorrow !

[Combining orders to give average price]

Just now, Fletch said:

That's what it does - at least it does on my system. I only have one line for multiple price entries.

Hmmm, strange mine is showing a differant line for each entry. There may be a setting or something

[Combining orders to give average price]

15 minutes ago, Fletch said:

On my platform, the average price is listed under positions. If it is not being shown on your system, you may need to add the column with the add/remove columns options.

Thanks for that, its useful but I would prefer one line that showed all entries with the average price.

Is it possible for the plaform to show a horizontal line with the average price?

 

[Combining orders to give average price]

Hi,

If i buy multiple positions, is it possible for the order's to be combined and show an average price?

Its time consuming for me to input my individual orders into excel to work out my average price.

Thanks

[US OIL]

4 minutes ago, Ddchart said:

Actually I think I mis-interpreted your question slightly. The issue with an unhedged short is where are you going to put your stop when the market’s this volatile? Yesterday the spot priced moved over 800 points, if that goes against you and your stop gets triggered you’ll lose way more than you’ll gain from the funding. The reason I use the long future is that you don’t pay funding on futures.

That answers my question, thanks!

[US OIL]

3 minutes ago, Ddchart said:

I don’t think it would - the key thing here is I’m trying to reduce exposure to the delta as much as possible whilst capturing the fact you currently get paid to be short spot oil. Because you’d expect far futures prices to be less volatile than the spot, I *think* in the current environment that you can also capture some delta on this trade, ie. yesterday spot dived lower than the July future meaning my short made more than my long, and I was paid the funding credit. At the moment I can’t see spot prices trading above the far future so this could be a way to gain exposure without paying any funding costs. With a guaranteed stop on a long you’ll still pay funding - yesterday I received £30 funding credit so you’d be paying more than that to be long. I don’t see just going long spot oil long term as viable at the moment; appreciate the funding costs change but even if it’s costing you £20 a day to be long, that’s £7,300 per year on a one point contract. Oil would have to be up above 90 a barrel within a year for you to make any money.

Thankyou, really insighful to your thinking and given me a lot to think about.
When I was referring to the guaranteed stop, I was meaning on a short, so you take a short, pick up the overnight funding, if price jumps on the reopen your stopped at your guaranteed stop. As long as the loss on your short is lower than the overnight funding you picked up that should mean an overall positive return, unless im missing something

[US OIL]

6 minutes ago, Caseynotes said:

Hi, there is an estimation of overnight funding for FX on the platform but not for commodities.

It would usually be worth running trades in the demo platform and checking the transaction history to get a rough idea of the of current levels debit or credit during normal times but with yesterday's range between 22 and 7 no one would want to take a guess but rather wait for the actual calc at 10pm. 

Thankyou ! So if I planned to take advantage picking up overnight funding by holding a short with a guaranteed stop just before close I wouldnt be able to check the rate, and the best way of getting an idea of the rate is by looking at it on the demo?

[US OIL]

1 hour ago, Ddchart said:

I’m currently short spot and long the July future, primarily to take the overnight funding credit on the short position. I realise it’s an imperfect hedge especially as the future gets closer to expiry (when I intend to roll it) so interesting to see how it plays out. You need to be sure you understand the relationship between the spot and far future price and the risk it involves; it obviously also isn’t going to work when the futures are in backwardation.

Would using a guaranteed stop instead of your futures hedge possibly acheive the same thing?

[US OIL]

Morning. Can anyone tell me where the overnight funding is listed for spot wti? I cant find it anywhere, its well hidden! Im using the web version of the ig site, not prorealtime.

[Currency Conversion Fee - have I got it right?]

While your here CharlotteIG, do you happen to know if being short Bitcoin on IG has ever incurred an overnight charge, or has it always been 'paid' to be short ?

[Currency Conversion Fee - have I got it right?]

Great, thanks for confirming - its clear the its only charged on the profit 🙂
I went on your live chat last week and was told an entierly differant thing hence my mis-understanding but all sorted. Happy trading.

[Currency Conversion Fee - have I got it right?]

7 minutes ago, Mark27000 said:

 

 

Quote

 

 

[Currency Conversion Fee - have I got it right?]

9 hours ago, Mark27000 said:

For the love of god man,read the replies ..your question has been answered like 5 times 

It doesn't matter if you trade 1 dollar or 100 dollars a point or what price bitcoin is when you bought it  or sold it.

You said your account is in sterling so if you buy the dollar version of bitcoin and you.make or lose money e.g. you made $50..That will be converted to uk£ and ig will take a cut of 0.5% for making that conversion 

I assume for any fees its the same 

Thanks to Caseynotes it looks cleared up, but it would be good for IG themselves to confirm it. The reason im asking is that I have had conflicting information from IG on live chat whereby they said its charged on the whole amount (not just the profit) both ways

[Currency Conversion Fee - have I got it right?]

5 hours ago, CharlotteIG said:

Hey @Fib550

I've had a look at your previous chat. If you're trading in a Dollar contract then when your profit/ loss is converted back to sterling we would use our fx rate to convert as well as add a 0.5% fee within that rate. 

 

If you're trading a sterling contract your profit/ loss is in sterling so we will not need to convert it.. Therefore the 0.5% fx fee is not going to be applied to your Sterling positions when you close it. 

Hi,

Can you confirm the amount the currency conversion fee is charged on?
Is it charged on just the spread, profit/loss and overnight swap?

Or is it charged on the total amount of the position, so if I am playing $1 per point and the price is $8000 that would mean a currency conversion charge of $40. And if this sentance is the correct one, then would the $40 be charged twice (for both opening and closing the position), and charged on profit/loss and swap ?

It would be good if you could do an illustration for me with some numbers if possible, I would be shorting BTC at a price of $8000, $1 per point, and holding for 10 days. That would be really helpful!

Many Thanks

[Currency Conversion Fee - have I got it right?]

Thanks very much, glad I finally understand it.
Any IG admins on here that can confirm the fx 0.5% charge is only on the spread, overnight funding and profit?

In regards to the BTC GBP variant, my issue is as follows.

I hold 1 Bitcoin on a crypto exchange and want to hedge it without selling it, hence where IG comes in.
The BTC GBP variant follows BTC USD price exactly, so if I short 1 contract on IG then technically I am shorting more than 1 BTC USD contract as GBP is stronger than USD. So I can short 0.78 contracts which works out to $1 per point which is great and matches my 1 Bitcoin spot position, however when the GBP USD exchange rate changes up or down it will mean I am no longer shorting exactly 1 BTC..... 

I did a test a few days ago whereby I shorted 1 BTC USD (GBP variant) and 1 BTC USD on IG cfd. I chose 0.78 contracts on the GBP variant due to the exchange rate being 1.27 on the day I entered the position, which would match $1 per point. As you can see from the image p/l are not exactly the same due to the exchange rate changing to 1.30 today. As time goes on the rate will fluctuate even further from the inital rate hence not mirroring 1 spot btc usd.

[Currency Conversion Fee - have I got it right?]

Appreciate the reply, really helpful.

Apologies I linked to the wrong IG US site, I am in the UK and my account is in GBP.

This exctract from the UK page where the fx charge is mentioned:

https://www.ig.com/uk/charges

So from your explanation of only the spread, overnight funding and profit/loss being charged the 0.5% fee makes this charge not really something to worry about as it will be so small that it will not really have any efffect on my trades.

I can short the BTC USD as a 1:1 hedge  for my spot bitcoin(opening a short of $1 per point per bitcoin im long in my spot position) and not have to worry about the exchange rate issues with the BTC USD(GBP) variant if I have understood it correctly.

Please let me know if I have got the calculations correct:

BTC USD price $8000
Short 1 contract which equals $1 per point
GBP USD rate 1.27
Spread $38
FX fee per contract $38 * 0.5% = $0.19
Total spread fx fee x 2 (for opening and closing position) $0.38

Profit on position $1000
FX fee on position close $5

Swap charge 0.0556 ($8000 position size x 7 days)  $31.14
FX fee on swap $0.16

Cheers 🙂

Page with details on spread and overnight swap for reference:
https://www.ig.com/uk/help-and-support/spread-betting-and-cfds/fees-and-charges/what-are-igs-cryptocurrencies-cfd-product-details

[Currency Conversion Fee - have I got it right?]

If I am trading BTC USD or the BTC GBP variant on a SB or  CFD there is no currency conversion charge then.

So what does the below screenshot mean then?

https://www.ig.com/us/forex-trading-costs

Thanks in advance.

 

[Hedging a spot BTC long position using IG CFD]

Thanks again for the reply. IG do have a BTC GBP product but it's hard to find, when you open the BTC USD product on the CFD or spread bet platform click the spot button then a BTC GBP product appears whereby the price is exactly the same as the BTC USD price.

[Currency Conversion Fee - have I got it right?]

Thanks for the reply, I'm struggling to understand this. I'll try again with BTC USD, ignoring any spread or change in price from opening and closing the position : 

Price is $8000, I play $1 per point which is equal to a $1 move up or down, the rate is 1.27. 

Isn't my position size $8000?

Currency conversion charge for opening the position :

$8000 X 1.27 = $10,160, 0.5 % currency charge of $50.80/£40

Charge for closing the position

$8000 ÷1.27 = £6299.21, 0.5% currency charge of £31.50

 

[Hedging a spot BTC long position using IG CFD]

Hi,
I want to hedge a spot bitcoin long position using IG CFD, and I want to use the BTC GBP1 product as I dont want to pay the currency conversion fee due to my account being in GBP.

I have the following questions:

Is the BTC GBP1 product suitable for this purpose? Say I want to hedge 1 bitcoin, which is valued at 8000. So I take out a position size of 0.78 in the BTC GBP1 market due to the GBP USD exchange rate being 1.27. So now I am moving at 0.78 pence per dollar Bitcoin moves.

However, with the GBP USD exchange rate constantly fluctuating, will this work? Will changes in the GBP USD exchange rate affect me being in a 1:1 position against BTC USD?

I am really struggling to get my head around this.

Any help is appreciated.

[Currency Conversion Fee - have I got it right?]

Hi,

I wanted to check if I understand the currency conversion fee properly.

Example, I want to long the GBP USD, my account is in GBP.

Position Size: £10,000 GBP
Rate: 1.27

Purchase of USD:
Amount of USD that would be bought without currency conversion fee: $12700
Amount of USD actually bought after 0.5% currency conversion fee: $12636.50

If the rate stayed the same at 1.27, here is what I would get back in GBP:
USD Value: $12636.50
Amount of GBP that would be bought without currency conversion: £9950
Amount of GBP actually bought after 0.5% currency conversion fee £9900.25

So a round trip of currency conversion fee costs add up to £100, or 1% of the original £10,000 position.

Do I understand this correctly?