Cotton is a fibre that is used in making textiles. Options on cotton futures were introduced in 1984 and have traded in New York on ICE Futures US, allowing for global trading soft commodities. Cotton is a staple in the textiles industry, and therefore it is a preferred contract among commodity trading advisors and hedge funds.
| PARAMETERS | Trading Specifications per Account Type | |||||
|---|---|---|---|---|---|---|
| PREMIUM | ZERO | PRO | ||||
| Spreads as low as | 0.29 | 0.29 | 0.29 | |||
| Size of 1 lot | 50,000 Lbs | 50,000 Lbs | 50,000 Lbs | |||
| Minimum Contract size, lots | 0.01 | 0.01 | 0.01 | |||
| Maximum Contract size, lots | 60 | 60 | 60 | |||
| Tick value per 1 lot | 5 USD | 5 USD | 5 USD | |||
| Volume limitation | n/a | n/a | n/a | |||
| Margin requirement | 1.5% | 1.5% | 1.5% | |||
| Minimum Price Increment | 0.01 | 0.01 | 0.01 | |||
| Limit and Stop Levels | 56.0 | 56.0 | 56.0 | |||
| Negative Balance Protection | Yes | Yes | Yes | |||
| Swap free days allowance | 0 | 0 | 0 | |||
