Frequently Asked Questions

A commodity exchange is an association or a company or any other body corporate that is organizing futures trading in commodities and is registered with FMC (Forward Market Commission), now under SEBI.

There are 24 commodity exchanges in India. Two national level commodity exchanges are: Multi Commodity Exchange of India Ltd, Mumbai (MCX) ( National Commodity and Derivative Exchange, Mumbai (NCDEX) (

The following commodities are actively traded​​​:-
Bullion: Gold, Silver
Metals: Aluminum, Copper, Zinc, Lead, Nickel
Oil and Oil Seed: Refined Soy Oil,Soy Bean
Energy: Brent crude oil, Crude oil, Natural Gas
Other commodities: Mentha Oil, Cardamom, Crude Palm Oil

A. Investors.
B. Producers / Farmers.
C. Importers / Exporters.
D. Commodity financers.
E. Agricultural credit providing agencies.
F. Hedgers, speculators, arbitrageurs.
G. Large scale consumers. For e.g. refiners, jewelers, textile mills.
H. Corporate having risk exposure in commodities.

The Securities and Exchange Board of India (SEBI) regulates Commodity Derivative Markets Since September 2015. Prior to that Forward Market commission, Overseen by Ministry of Consumer Affairs regulated Commodities.

The trade timings of the Exchange from Monday to Friday are IST 10:00 a.m to 11.30 p.m. / 11.55 p.m.* (*during US day light saving period).

Futures Contract is a type of forward contract. Futures are exchange traded contracts to sell or buy standardized financial instruments or physical commodities for delivery on a specified future date at an agreed price. Futures contracts are used generally for protecting against rich of adverse price fluctuation i.e. hedging.

The major advantage of trading in commodity futures is price risk management and price discovery. Farmers can protect themselves against undesirable price movements and decide upon cropping pattern. The merchandisers avoid price risk. Processors keep control on raw material cost and decreasing inventory values.

The speculators are the people who try to assimilate all the possible price-sensitive information, on the basis of which they can expect to make profit. They do not create risk, but merely accept the risk, which already exists in the market. They contribute in improving the efficiency of price discovery function of the futures market.

Yes. Speculators are participants are willing to take risk of hedgers in the expectation of making profit. They provide liquidity to the market, else it is difficult to function without speculators.

Commodity trading is done in the form of futures and that throws up potential for profit and loss as it involves predictions of the future and hence uncertainty and risk. Risk factors in commodity trading are inline to futures trading in equity markets.

The commodity market is driven by demand and supply factors and inventory. Variables like weather, social changes, government policies and global factors influence the price movements.​​

The loss incurred on account of speculative transactions in futures market cannot be set off against normal business profit. This loss is however allowed to be carried forward for eight years, during which it can be set off against speculative profit.

Options trading is to be permitted in commodities very soon.

You are requested to fill the client agreement form with BnB Financial Services Pvt Ltd. Documetns required : PAN copy Proof of address like Passport,Driving License etc 1 colour passport photo 1 cancelled cheque bearing the client's name(Else bank statement).

Well, you will be in a reasonably logical position to analyze the quality of our services within a short poeriod based on your traded account balance fund.

The stop loss concept is to for one's benefit. There are important pivot support/resistance levels on technical ground and if breached ,they might further move against you very fas and the losses accrued can be larger. We need to grow wealth which is important but safe guarding capital is even more important.

The number of lots to be traded should be in irect co-relation to the funds available and the risk readiness of the client, When the the trade is moving in the expected direction, the stop loss should be modified accordingly and book profits at the desired level.

It can be done on Scores Portal (

Please go through the website for complete information and register on SCORES portal.

Filing complaints on SCORES - Easy & quick.

Mandatory details for filing complaints on SCORES:

***Name, PAN, Address, Mobile Number, Email ID


**Effective communication

**Speedy redressal of the grievances.

Two methods generally used for predicting futures prices are fundamental analysis and technical analysis. The fundamental analysis is concerned with basic supply and demand information, such as, weather patterns, carryover supplies, relevant policies of the Government and agricultural reports. Technical analysis includes analysis of movement of prices in the past depitec in charts.. Many participants use fundamental analysis to determine the direction of the market, and technical analysis to time their entry and exist.