What are the contract specifications for cardamom trading on MCX?
MCX (Multi Commodity Exchange) provides contract specifications for cardamom trading. These specifications include details such as the trading unit, delivery unit, trading hours, and price quotation method.
Understanding the Contract Specifications
Cardamom contracts on MCX are traded in a standardized unit known as the trading unit. The trading unit for cardamom is typically specified in kilograms. For example, a trading unit of 1 kg means that each contract represents 1 kg of cardamom.
The delivery unit refers to the quantity of cardamom that must be delivered when a contract is settled. It is usually the same as the trading unit. Traders must ensure they meet the delivery requirements if they hold contracts until the expiry date.
Contract Specifications on MCX
Here are some key contract specifications for cardamom trading on MCX:
- Trading Unit: The typical trading unit for cardamom contracts on MCX is 1 kg.
- Delivery Unit: The delivery unit is also 1 kg, which means each contract represents 1 kg of cardamom for delivery.
- Trading Hours: The trading hours for cardamom futures contracts on MCX are usually from 10:00 am to 6:00 pm on weekdays.
- Price Quotation Method: Cardamom contracts on MCX are quoted in Indian Rupees (INR) per kg. The price quotation is typically up to two decimal places.
Conclusion
Understanding the contract specifications for cardamom trading on MCX is essential for traders who wish to participate in this market. By knowing the trading unit, delivery unit, trading hours, and price quotation method, traders can effectively plan their trading strategies and manage their positions. It is important to stay updated with any changes in the contract specifications as they may impact trading decisions and risk management.
By Astrobulls research pvt ltd