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Futures Spread Trading
Trade the price difference. Manage risk and capture opportunities
What is Futures Spread Trading?
Futures spread trading is a strategy where you simultaneously buy one futures contract and sell another related contract, aiming to profit from the change in the price difference (the "spread") between them, rather than from the absolute price movement of a single contract
Contango
Backwardation
More Opportunities
Profit from rising, falling and sideways markets.
Reduce Volatility and Risk
Spread trading reduce overall exposure as long and short positions offset
Leverage Effiency
Lower margin requirement
Diversification
Calendar Spread
Buying and selling futures contracts for the same underlying asset but with different expiration months
Eg: Long Spread
Long Crude Oil Dec 2026
Short Crude Oil Jan 2027
Why Calendar Spread?
How to trade Futures Spread?
Choose the market and contracts
Choose Spread type
Monitor the Spread
Manage Risk
Take Profit or exit trades
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