ADDITIONS TO PUBLISHED SPREAD ANALYZES. Dear customers of the analytical information service Capital Analysis, after a massive number of inquiries about published spread analyzes of platinum/gold and wheat/soybeans, we would like to draw attention to the basic money management in the genome of these analyzes. Due to the use of historical data, spread strategies are analyzed on futures contracts, not on CFDs. Futures contracts have a standardized amount and other requisites, which CFD’s do not have. For futures contracts, the ratio of 1x gold sell (100 oz / dollar) vs 2x platinum buy (50 oz / dollar) applies. The ratio for the second of the spreads is wheat 1x buy (5000 bushels / cent) and soybeans 1x sell (5000 bushels / cent). The volumes at CFD’s contacts are given by the broker’s trading conditions. For this reason, the basic idea is a matrix in a ratio of 1: 1 in the volume of contracts. Individual adjustments and settings of parameters are, of course, based on customers or analysts. None of the information provided is binding on the customer, but only informative.
Thank you for your understanding.