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What is a margin?
A margin is the edge or border of something, or the amount by which something wins or falls short. It can also be a verb meaning to provide with an edge or border, or to deposit an amount of money with a broker as security.
What is the definition of a CSS margin?
A CSS margin is just a spacing allowed on a web page. Much like a margin on a piece of paper it holds a space for measurements and leaves the empty space to define the page. Though there can be text in the margins many developers place menu links in them.
Mechanism of trading in future contract?
Basically, you buy (go Long) on a futures contract when you think the underlying asset is going to go up and you go short on a futures contract when you think the underlying asset is going to go down. When you go long or short on a futures contract, you only need to pay a small deposit (typically about 10% of the price of the underlying asset) known as the "Initial Margin". Winnings are added to your margin daily and losses taken from it. When your margin drops to a level known as a "Maintenance Margin" due to losses, you will receive a "Margin Call" to top up your account back to the initial margin level. You can close off (offset) your futures position at anytime in order to cut loss or take profit. For more details on how futures trading works, please refer to the link below.
What happens when you Short a call option?
"Shorting a call" is better known as writing a naked call. Basically, a naked call is a call on a position you don't hold, and it has unlimited risk--if you get exercised and the strike price plus the premium is lower than the stock price, you must make up the difference out of your margin account--or you'll receive a margin call from your brokerage. Many brokerages won't allow you to write a naked call, and the ones that will demand a very large margin account and a lot of experience in trading options.
How does one learn how to trade futures?
Futures trading is all about understanding possible financial risks. To learn to trade futures, one must learn the aesthetics of leverage and initial margin.
