Ethanol Futures Trading Basics

Ethanol futures are standardized, exchange-traded contracts in which the contract buyer agrees to take delivery, from the seller, a specific quantity of ethanol (eg. 29000 gallons) at a predetermined price on a future delivery date.

Ethanol Futures Exchanges

You can trade Ethanol futures at Chicago Board of Trade (CBOT).

CBOT Ethanol futures prices are quoted in dollars and cents per gallon and are traded in lot sizes of 29000 gallons .

Exchange & Product NameSymbolContract SizeInitial Margin
CBOT Ethanol Futures
(Price Quotes)
EH29000 gallons
(Full Contract Spec)
USD 6,480 (approx. 14%)
(Latest Margin Info)

Ethanol Futures Trading Basics

Consumers and producers of ethanol can manage ethanol price risk by purchasing and selling ethanol futures. Ethanol producers can employ a short hedge to lock in a selling price for the ethanol they produce while businesses that require ethanol can utilize a long hedge to secure a purchase price for the commodity they need.

Ethanol futures are also traded by speculators who assume the price risk that hedgers try to avoid in return for a chance to profit from favorable ethanol price movement. Speculators buy ethanol futures when they believe that ethanol prices will go up. Conversely, they will sell ethanol futures when they think that ethanol prices will fall.

Learn More About Ethanol Futures & Options Trading

Ready to Start Trading Futures?

Trade futures now at with special low introductory contract rates!

To buy or sell futures, you need a broker that can handle futures trades.

OptionsHouse is a full fledged Futures Commission Merchant that provides a streamlined access to the futures markets at extremely reasonable contract rates.

Click here to open a futures trading account at now!

Follow Us on Facebook to Get Daily Strategies & Tips!

Ethanol Options & Futures

Futures Basics

Energy Futures

Options Strategy Finder

Outlook on Underlying:

Profit Potential:

Loss Potential:


No. Legs:

Join the Discussions @ The Options Forum

Beginners Questions

Advanced Strategy Talks

RSS Feed Widget

Trading Ideas & Opportunities

Home | About Us | Terms of Use | Disclaimer | Privacy Policy | Sitemap

Copyright 2016. - All Rights Reserved.