There are two main types of online futures trading platform: web based and software based. (See our Online Trading Platforms here.)
 

Web-Based Online Futures Trading

With web-based online trading software you can trade futures from any computer that has Internet access. Simply connect to the Internet and you are away! Trades are made through a platform housed on a secure server of a futures broker's website. No download or special set-up is required. Quotes are usually live and free although you need to press a refresh button to update them. Streaming quotes usually require a subscription fee, plus exchange fees that can vary between $15 and $100/month per exchange. If you trade many different futures markets, you may need to pay four or five exchange fees if you want streaming quotes or live chart facilities. Simulated trading is usually available on a web-based online trading platform.

Software-Based Online Futures Trading

Software-based online futures trading platforms are downloaded and installed on to your own computer. You then use the Internet to access your trading account, check its balance, retrieve market quotes, place orders and obtain the status on working orders, check for filled trades and market positions. The software connects to the internet so you trade online - but it must be on your own computer. Many traders prefer this option. It is easy to download the software from the broker's website (usually about 5mb) and install it onto your PC. The only setup required is to log-in using your unique username and password.

Either option will encompass trading on all major futures markets, including open outcry and electronic/overnight markets (e.g. GLOBEX). You can refresh your account balance to retrieve live profit/loss. You will also be sent a daily account statement. This can be posted or emailed - email is certainly easier and speedier.

Even the most basic online trading platform should have the ability for you to place multiple order entry modes, for example, stop orders, limit orders, "or better" orders, stop with limit orders, etc.

You should receive order fill prices in real-time. Fills are sent to your screen via a pop-up fill notification box as soon as the fill is received. In some instances, fills can be returned in 1-3 seconds. Some exchanges take longer than others. CME and CBOT fills are usually received within several minutes of an entry/exit level being hit and the order being filled. The New York exchanges are notoriously slow and you may have to wait an hour or more to get your fill notification.

For ease of use, most online futures trading platforms use color-coding. For example, buy orders are displayed in blue, while sells use a red font. Similarly, market quotes use color-coding to indicate whether a quote is positive or negative. The various order-entry modes are designed to fit various trading conditions. For example, a user watching quotes for a given market can instantly create an order by simply clicking on the quote once the market reaches the desired price. Or, a user can easily summarize open positions and liquidate any one of them by simply pointing to and then double-clicking on the position in the position screen.