Technically Speaking Futures, Options, and Stocks e-magazineTechnically Speaking digital trading magazine recently featured an article written by Carley Garner regarding SPAN commodity portfolio margining tips and tricks.

*This article is an excerpt from Garner's latest futures and options trading book, Higher Probability Commodity Trading book by Carley Garner.


The most common question I receive from beginning traders is, “What do I do if I receive a margin call?” The answer is simple: Don’t panic! In most situations, there is usually an easy fix to alleviate a margin problem that doesn’t involve wiring funds or offsetting trades at unfavorable prices.

Ideally, margin call avoidance is the best policy. However, even the most responsible traders will encounter the predicament sooner or later. HPCT Cover 350x450Rather than simply throwing in the towel and liquidating positions or adding additional funds to what might become equivalent of a money pit, there are an unlimited number of ways to influence the exchange-required margin in your favor via risk reduction, or at least the perception of such. Naturally, lower risk equates to lower margin and, in most cases, lower profit potential, but for those who find themselves in a dire margin situation, beggars can't be choosers.



Continue reading this article on futures and options trading margin by Carley Garner in Technically Speaking e-Magazine by clicking the icon below and turning to page 16. 


Futures and Options Trading Booksby Carley Garner

What People are Saying about Our Commodity Trading Books

Choosing a Futures Broker and Brokerage Service

Full-Service or Online Trading?

The decision to trade online or through a full-service commodity broker will undoubtedly make a large impact on your bottom line.

Learn More

A Fair Commission Rate vs. Low Commission

To look at commission rates objectively, we must understand the background of the futures industry and how brokerages accept risk for fees.

Learn More

Choosing a Commodity Brokerage Firm

Deciding on a commodity brokerage firm is a significant decision and shouldn’t be taken lightly. Not all traders and brokers are compatible.

Learn More

Choosing a Futures and Options Broker

Most traders in search of a futures broker are concerned primarily with trading platforms, commission, and quality guidance.

Learn More

The Truth about Futures Commission

The goal of futures trading should be to MAKE money, not SAVE it! Discount commodity brokers cut corners that cost their clients time & money.

Learn More

Commodities via Futures or ETFs?

A key difference to trading commodity futures over ETFs is leverage, but there is more to discuss, such as taxes, market hours, and efficiency.

Learn More