Taker - The buyer of an option contract.

T-Bond - See Treasury Bond.

Technical Analysis - An approach to forecasting commodity prices which examines patterns of price change, rates of change, and changes in volume of trading and open interest, without regard to underlying fundamental market factors.

Ted Spread - The difference between the price of the three-month Treasury bill futures contract and the price of the three-month Eurodollar time deposit futures contract with the same expiration month.

Tender - To give notice to the clearing house of the intention to initiate delivery of the physical commodity in satisfaction of the futures contract. Also see Re-tender.

Tenderable Grades - See Contract Grades.

Terminal Elevator - An elevator located at a point of greatest accumulation in the movement of agricultural products which stores the commodity or moves it to processors.

Terminal Market - Usually synonymous with commodity exchange or futures market.

Theta - The derivative of the option price equation with respect to the remaining time to expiration of the option. A measure of the sensitivity of the value of the option to the passage of time.

Tick - Refers to a minimum change in price up or down. See Point.

Time-of-Day Order - This is an order which is to be executed at a given minute in the session. For example, "Sell 10 March corn at 12:30 p.m."

Time Spread - The selling of a nearby option and buying of a more deferred option with the same strike price.

Time Value - That portion of an option's premium that exceeds the intrinsic value. The time value of an option reflects the probability that the option will move into-the-money. Therefore, the longer the time remaining until expiration of the option, the greater its time value. Also called Extrinsic Value.

To-Arrive Contract - A transaction providing for subsequent delivery within a stipulated time limit of a specific grade of a commodity.

Trade Option - A commodity option transaction in which the taker is reasonably believed by the writer to be engaged in business involving use of that commodity or a related commodity. See Commission Rule 32.4.

Trader - (1) A merchant involved in cash commodities; (2) a professional speculator who trades for his own account.

Transaction - The entry or liquidation of a trade.

Transfer Trades - Entries made upon the books of futures commission merchants for the purpose of: (1) transferring existing trades from one account to another within the same office where no change in ownership is involved; or (2) transferring existing trades from the books of one commission merchant to the books of another commission merchant where no change in ownership is involved. Also called Ex-Pit Transactions.

Transferable Option (or Contract) - A contract which permits a position in the option market to be offset by a transaction on the opposite side of the market in the same contract.

Transferable Notice - A term used on some exchanges to describe a notice of delivery. See Re-tender.

Treasury Bills - Short-term the government obligations, generally issued with 13, 26 or 52-week maturities.

Treasury Bonds (or T-Bond) -Long-term obligations of the government which pay interest semiannually until they mature or are called, at which time the principal and the final interest payment is paid to the investor.

Treasury Notes - Same as Treasury Bonds except that Treasury Notes are medium-term and not callable.

Trend - The general direction, either upward or downward, in which prices have been moving.

Trendline - In charting, a line drawn across the bottom or top of a price chart indicating the direction or trend of price movement. If up, the trendline is called bullish; if down, it is called bearish.