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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: robnhood who wrote (31403)	10/13/1998 7:37:00 AM
From: Joseph G.	Respond to of 94695

1 Spoo = $500*index, to settle.

To: robnhood who wrote (31403)	10/13/1998 1:05:00 PM
From: GROUND ZERO™	Read Replies (1) \| Respond to of 94695

russell, One SP500 contract will produce 25K with 50.00 points. A move, for example, from 992.50 to 993.50 is $500.00 or $500.00 for each 1.00 point move. When the SP500 cash is trading at exactly 1,000.00 the underlying cash index is valued at exactly $500,000.00 worth of stock in U.S. currency. The 500 in the index's name is, of course, the number of companies factored into the index, not the dollar amount. If I get a more solid buy signal, I'll buy more aggresively. For the 30 year bond contracts, a move of one full point, or 32 32nds, is equal to $1,000.00 so a move from 128 even to 129 even is a $1,000.00 move. Each contract represents $100,000.00 cash bond for delivery. I trade these bonds a few at a time since the moves are not generally that big. I'm short three contracts from last week at about 132 in the December futures. If I get a more solid sell signal, I'll short more for the move down. GZ