This is when the futures price of a security is above the cash price at maturity. The opposite is backwardation.
Other Trading Basics
A technical indicator developed by John Bollinger.
The bands help a trader visualise changes in price volatility.
Taught in our Technical Trading course.
The interest payment on a bond.
The month during which a contract or bet expires.
Start learning now
Learn the skills needed to trade the markets on our Trading for Beginners course.