Top Reasons Why Commodity Traders Lose Money
If you have not heard by now, most people who trade
commodities lose money. Most of the
estimates range in the 80 to 95 percent range of those who have lost or who are
losing...
Strategies For Taking Profits In Futures Trades
Having a strategy for when
and how to take profits on futures
trades is one of the more important aspects of the business of trading. New commodity traders are often conflicted
with the emotions of...
Handling Time Decay When Trading Futures Options
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...
What Size of Futures Trading Account Should You Use?
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...
Realistic Expectations for Trading Commodities
One of the biggest mistakes new commodity traders make is
having unrealistic expectations before they place their first trade. The
commodity markets are highly leveraged investments, which increase profits for
disciplined traders and rapidly drain...
Importance of Keeping Records When Trading Commodities
One of the single best things you can do to further your
education in trading commodities is to keep thorough records of your
trades. Maintaining good records
requires discipline, just like good trading.
Trend Following Strategy in Trading Futures Markets
“The trend is your friend.” That is a statement that has
been circulating among commodity traders for a long time. It simply means that
you should trade with the trend of the market to...
Creating a Commodity Trading Plan
It is absolutely essential to have a trading plan in writing
before you begin trading commodities. Do not take this statement lightly. A
sound trading plan is one of the most critical pieces to...
