A future contract's price is a reflection of how many 'ticks' it has moved. For example, soybean's minimum price fluctuation is $0.0025 per bushel, so the minimum price tick is $12.50 per contract ...

Spot price refers to the immediate settlement price of indexes, commodities, or currencies. Strip price is the average of future prices for sequential delivery, actively traded in markets ...

Example: Commodities A simple example: Commodities. The commodities market is one of the clearest examples of how supply and demand help to determine price. In commodities trading, participants ...