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Options and Futures

Position Limit

A crucial aspect of futures trading involves understanding the concept of position limits. These limits, set by the Commodity Futures Trading Commission and/or the exchange, dictate the maximum number of speculative futures contracts an individual can hold. This limit serves as a protective measure against excessive speculation and is often referred to as a trading limit. As a knowledgeable finance professor, I urge you to familiarize yourself with position limits to make informed and responsible trading decisions.
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