What Macroeconomics indicators Tell us

To navigate the basic rules of bidding, you must understand that the purchase or sale contract can be both open and closed positions. Therefore, information on buying or selling is often not enough to understand the full picture.

Opening of the transaction – a process during which establishes the rights or obligations under the contracts.

Closure of the transaction – is the adoption of the rights or obligations of another party.

Opening purchase – a transaction in which the buyer believes that a particular company’s shares rise in price, and acquires a call option.

Closing sale – sale option following an increase in stock prices for profit.

Do not forget that opens the purchase is always preceded by a closing sale, and opens the sale is always preceded by a closing purchase.

Due to the encoding of electronic auctions.

Timeline

It should remember the name of codes:

January – F
February – G
March – H
April – J
May – K
June – M
July – N
August – Q
September – U
October – V
November – X
December – Z

The purchase price and sale

The purchase price – bid (bid).
Price – ASK (ask).

Volume

For each month indicated their level of supply, which indicates the number of contracts that are daily involved in the auction. This information comes from the exchange of reporters.

Open interest

Open interest – one of the most important indicators of market activity. In fact, the number of proposed open contracts that are waiting for delivery or closing of offsets.