What’s the ROI when trading Soybeans on Commodity Market?

1
commodity trading
newbie_cat asked:

I understand commodity trading is more risky, then say, options, but I would like to know what to expect as far as profits go.

Stock Trader Ninja

Filed under News, commodity trading by  #

Comments on What’s the ROI when trading Soybeans on Commodity Market?

January 8, 2009

EZ Traders @ 10:53 pm #

You do not provide enough information.

Soybean contracts fluctuate $5000 for every point per contract. Margin on 1 contract is $4725. So if you bought one contract and rode it a full point in your favor, you’d more than double your money. If it dropped, you can risk up to $1,225 before you would get a margin call.