The lean hog market has frustrated some traders this year
and made the year for other traders. It is all about how to read the market
properly. Granted, the livestock markets are not always easy to read in my
opinion, but they offer some good trading opportunities. The underlying story
here is that China lost a large portion of the pork...
Agriculture commodity prices have dropped substantially this
year. The agriculture commodities consist mainly of the grains, livestock and
softs (food). Some commodities like
corn, lean hogs and cocoa had their moments in the sun this year. Now, most of the agriculture commodities are
firmly entrenched in downtrends.
The good news is that I suspect many of these...
Time decay of futures options is a major factor option
traders must consider before they buy a futures option contract. Time decay of options means that options
theoretically lose money every day, since they have a limited life.
All futures option contracts have an expiration date.
Basically, an option contract is a bet that a market...
Each brokerage firm sets their minimum starting size for
accounts. Normally, it starts at $5,000,
but I have seen them as low as $1,000.
It is common for first-time traders to start trading with a $5,000 to
$10,000 account. However, there is a
learning curve with trading futures and the account size should fit the
experience level, financial situation of the trader, markets...
Ample supplies and a mild winter have caused natural gas
futures to drip down into multi-decade low support levels. The market has
reached the sub-$2 level a handful of times in the last 20 years, which proved
to be a value zone many times. The market still looks negative, but it is time
to think about a long term bottom. However,...
