Stock futures trading is a way to hedge yourself in stock trading. In other words, this kind of a deal is specified as the one where you consent to pay a seller a cost for a quantity of stock that you purchase from him on a specific date in the future. On the other hand, stock futures trading is a financial investment alternative and these can be traded on the marketplaces in a way much like regular stocks. This is a crucial financial investment opportunity, available to financiers for hedging their dangerous stock purchases. They can go short on such future agreements, indicating that they offer the stock before they really own it.
Choices offered to the financier are far more than if you purchase conventional stocks. You can go long and short on the exact same stock. You can deal with a calendar spread, where, you participate in an agreement to offer the stock futures you have purchased a month from now, and once again participate in another agreement to purchase the very same stock 3 months from now.