Dakota State University
BUS 418 Financial Futures &
Options
Spring 2001
Futures Contract Study Project
Points: Computer Assignments (3x20) 60 points Class presentation with corrected #3 30 Final report 50 Total 140 points
Final Report Due: Tuesday, May 8, 2001 10:00 pm
Contract: Your choice of contract must be approved by me.
Report
Format: Narratives in the final report should be typed,
single-spaced, with one-inch margins, and in
Standard error-free English.
Report Outline:
Section Topic
1 Cover page
2 Specifications of the contract. This can be a printout from the exchange on which the contract is listed.
3 Wall Street Journal quotations, enlarged and isolated, i.e., snip off extraneous contract quotations.
4 One delayed intraday quote from Futuresource.com.
5 Computer Assignment #1 Charting Futures Prices
6 Computer Assignment #2 Technical Analysis: Moving Averages
7 Computer Assignment #3 Account Equity and Charting
8 Analysis and discussion:
a) volatility of futures price of your contract during the
study project
b) pattern of open interest during the course of the study
project
c) trends and/or patterns visible in price chart,
i.e., a technical analysis discussion not
referring to the moving averages of Computer
Assignment #2. Make a copy of the price chart
and draw directly on the chart and add comments.
d) theory of the moving averages technique, i.e. how the
technique generates buy and sell signals
e) account equity performance for one contract:
1) initial margin
2) final profit or loss in dollars
3) final profit of loss as a percent of margin
4) largest profit at any time (dollars and percent)
5) largest loss (drawdown) at any time (dollars and percent)
g) effectiveness of the moving averages technique
9 Words of wisdom for trading the contract you studied based on:
a) your own experience b) any discussions you've read elsewhere