Eurex Trader Practice Exam 2025 – The Comprehensive All-in-One Guide to Master Your Trading Certification!

The closing price in futures trading is defined as the final price recorded at the end of a trading session. This price is significant because it is often used as a reference point for various analyses and assessments in the financial markets. It reflects the value at which the last transaction occurred before the market closed, providing a snapshot of the asset's value at that specific point in time.

The closing price plays a crucial role in calculating settlement prices, determining margin requirements, and serving as a benchmark for future trade evaluations. It is important for traders and investors, as it helps in making informed decisions regarding market trends and the overall performance of a specific futures contract.

In contrast, the average price over the trading session does not represent a specific point in time like the closing price does. The highest price reached during the session pertains to a different measure of volatility and price action throughout the day. The price that the contract was initially set at refers to the opening price, which is also distinct from the closing price.