The trading procedure on the floor of the futures exchange is referred to as
A) against actuals
B) open interest
C) open outcry
D) index participation
E) none of the above

Question

Quizplus · Accepted Answer

The trading procedure on the floor of the futures exchange is often referred to as open outcry, as traders use hand signals and shouting to communicate buy and sell orders. Option A is incorrect, as against actuals refers to a type of cash settlement for futures contracts. Option B refers to the total number of outstanding contracts for a particular futures contract, not the trading procedure. Option D is not a term commonly used in futures trading.

The Trading Procedure on the Floor of the Futures Exchange