Description
Multiply price change by contracts and multiplier, reversing sign for a short position.
Market quotes and settlement values use instrument-specific units and timing. A spread or one settlement's cash movement can be calculated from supplied prices without establishing execution availability, total cost or a trading opportunity.
Multiply price change by contracts and multiplier, reversing sign for a short position.
When to use this tool
Use Futures Margin Variation One Settlement when you need a quoted-price or settlement arithmetic term.
How to use the tool and how it works
- Enter contracts, contractMultiplier, previousSettlement, currentSettlement, longPosition. Use the units and conventions below.
- Run the tool. Correct any format, range, or cross-field input error before interpreting the output.
- Read variationMargin. Use the output convention below.
Require nonnegative integer contracts and positive multiplier. Multiply price change by contracts and multiplier, reversing sign for a short position.1
| Input field | Meaning and units | Accepted input |
|---|---|---|
| contracts | Contracts | Required. Safe integer; minimum 0. |
| contractMultiplier | Contract Multiplier | Required. Finite number; strictly above 0. |
| previousSettlement | Previous Settlement | Required. Finite number. |
| currentSettlement | Current Settlement | Required. Finite number. |
| longPosition | Long Position | Required. Boolean. |
| Output field | Interpretation | Returned shape |
|---|---|---|
| variationMargin | Variation Margin | Required. Finite number. |
{
"input": {
"contracts": 3,
"contractMultiplier": 100,
"previousSettlement": 50,
"currentSettlement": 52,
"longPosition": true
},
"output": {
"variationMargin": 600
}
}Limitations and assumptions
- Multiplier is cash per price point per contract. This is one settlement's variation, excluding initial margin, fees, currency conversion and broker rules.
- Inputs must satisfy both the field types and the cross-field conditions above. Invalid input causes an error; a successful false flag or documented placeholder is a different result.
- Numeric calculations use binary floating point unless exact decimal-integer arithmetic is explicitly stated. No hidden measurement tolerance or decimal rounding is added; nonfinite or out-of-contract results are rejected. Numeric signed-zero results are exported as zero.
Alternative or Complementary methods
Use actual instrument specifications and contemporaneous market data for trading or reconciliation. Include multiplier, currency, fees, timing and relevant account rules.
References
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