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1. Many times we read aboutFuture Trading in newspapers.What is Future Trading ? (i) It is nothing but a trade betweenany two stock exchanges whereinit is decided topurchase the stocks of each otheron a fixed price throughout theyear.(ii) It is an agreement between twoparties to buy or sell an underlyingasset in the futureat a predetermined price.(iii) It is an agreement betweenstock exchanges that they will nottrade the stocks of eachother under any circumstances infuture or for a given period oftime.






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