Suppose the initial margin on heating oil futures is $8,000, the maintenance margin is $7,000 per...
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Suppose the initial margin on heating oil futures is $8,000, the maintenance margin is $7,000 per contract, and you establish a long position of 10 contracts today, where each contract represents 42,000 gallons. Tomorrow, the contract settles down $0.15 from the previous day's price. Are you subject to a margin call? What is the maximum price decline on the contract that you can sustain without getting a margin call? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). Suppose the initial margin on heating oil futures is $8,000, the maintenance margin is $7,000 per contract, and you establish a long position of 10 contracts today, where each contract represents 42,000 gallons. Tomorrow, the contract settles down $0.15 from the previous day's price. Are you subject to a margin call? What is the maximum price decline on the contract that you can sustain without getting a margin call? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).
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