The value date of a financial instrument is the date on which the instrument's value is determined. For example, the value date of a foreign currency note is the date on which the note is exchanged for the foreign currency. The value date of a futures contract is the date on which the contract expires. What is back value date? The back value date is the last day on which an options or futures contract can be traded. The back value date is typically one day before the expiration date. What is debit value date? The debit value date is the date on which the buyer of an option or derivative contract is obligated to pay the seller the full amount of the contract price. This date is typically set at the time of purchase, but may be adjusted if the contract is rolled over or extended. What is the difference between value date and booking date? The value date is the date on which the trade is settled. The booking date is the date on which the trade is booked. The difference between the two is the time it takes for the trade to settle.
What time of day do trades settle?
According to the Options Clearing Corporation (OCC), trades settle at 5:00 pm Eastern time on the third business day after the trade date, unless that day is a holiday, in which case the settlement will occur on the fourth business day.
For example, if you place a trade on Monday, it will settle on Thursday. If Thursday is a holiday, then the trade will settle on Friday. Do you buy or sell in a bullish market? If you are bullish on a particular stock or security, you would generally buy that security in the open market.
Similarly, if you are bearish on a particular stock or security, you would generally sell that security in the open market.