Showing posts with label Futures. Show all posts
Showing posts with label Futures. Show all posts

Friday, September 30, 2011

Commodity Futures Trading Using Fuzzy Logic and Market Synchronization Clues, PART 2

There's nothing better than fuzzy logic for determining when a commodity market has begun a new trend and is starting to synchronize. Read on to find out exactly what this is all about...

Observation From Trading Notes:

Commodity

"After an e-mini futures top forms over 1-2 days with big contracts and multiple tops, look for the last rally to labor up all day AFTER a sharp and fast down opening with poor A-D line. Key: It will spike or touch the 5 min chart channel one last time. This is the best place to short."

This is another familiar e-mini futures pattern. In this case it's a big set up for a big move. There are always some kind of preparations for a big move. Your job is to identify them. These are patterns that will repeat every 5-10 days or so. The anemic rally is the key. It's like the market is running out of gas and getting tired. That last stretch to tap the channel in a weakened state is an e-mini short trade you should jump on. It is a "high probability" trade.

If you stalk this trade, focused and patient, you will find your share of these kinds of set ups. Notice they are not rigid, computer system type patterns. Making sense of them requires the fuzzy logic of the brain that is looking at many indications and patterns at once. You will get to the point where you can simply feel you've been there before in a general way and know that this means a short sale.

There's no computer program that can do the same integration at this time. There will be someday, but for now the extraordinary commodity futures traders, the superstars who earn $millions+ a year, are mostly discretionary (fuzzy logic) people using computers to do the raw number crunching - the grunt work.

Good Trading!

There is substantial risk of loss trading futures and options and may not be suitable for all types of investors. Only risk capital should be used.

Commodity Futures Trading Using Fuzzy Logic and Market Synchronization Clues, PART 2

Wednesday, September 21, 2011

The purchase and sale of commodity futures

Buying and selling shares because the company was born to find a way to raise capital. Assume joint responsibility and collected donations for the building expansion, etc. The stock market has developed what we see today. The purchase and sale of goods came about because the company wanted to manage and transfer risks. The commodities market is what we see today developed. There are great opportunities for profit, but the risk is even greater. What happens in the futures market isobserved throughout the world. The task determines the value of the goods.

Those who run the risk of investing in the futures market and commodity they want those who are willing to risk are called hedgers. Those who are willing to risk the futures market of raw materials, in the hope of accepting big profits are involved, are called speculators.

Commodity

Futures contracts are standardized so that they can meet the needs of both the buyer and seller to meet differentTypes of goods and financial instruments. In commodity futures will be given as follows:

* Quantity
* Delivery
* Quality
Price * (variable)

With standardized contracts, the contract may be exchanged for other contracts. This eliminates the need to actually deliver or accept delivery of a particular product. An equal and opposite position in the futures market was created. Sell ​​offset or close a long position or buy. The purchase of offset oris followed by a short position or sell.

To calculate a gain or loss of a future position, follow the following formula.

Sale price - purchase price x contract size x number of contracts = Profit or loss

Purchase and sale of goods is attractive because of the potential profit. Not for the faint of heart or those who do not have the money at risk. Getting Started in debt, is to reduce the savings or a pension fund is not advisable. When you invest in commodities, there are oftena minimum investment of $ 5000. This may be lost in a short time, but also win big in a short time will be realized.

If you are sure you are ready, commodity futures add to your investment portfolio and the minimum of $ 5,000 for an investor, contact the New Century International are experts. There are many advantages, a new customer Century International. The advantages include excellent customer service, call fast and live quotes.Contact to invest to get a new Century Financial Expert International started today.

The purchase and sale of commodity futures

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Friday, September 16, 2011

Commodity Futures Trading - why it was not for the average investor

If you do not mind losing $ 5,000 in 10 minutes, you can enjoy the commodity futures trading. There's an old saying among commodity traders: "It 'just a small fortune in commodities make it easy to start with a large fortune." This is not a business for people who are emotionally, are connected to their money, but thousands of average "investors" in commodities markets for years to get baits years. Why? Because of the possibility of high percentage gains with the built-in leverthat both the Commodity Futures Traders.

The commodity markets are wheat, corn, soybeans, pork bellies, gold, silver, oil, wood and many other items of common commercial policy. Large companies operating in these markets use commodity "futures" contracts to lock the selling prices of products before delivery. This approach is called "hedging". On the other side of the transaction, the merchant speculates that if the goods are pricedup or down before the contract for delivery. Since contracts can be purchased with leverage, these financial instruments lend themselves to speculation.

Commodity

For example, the control of a contract of corn, valued at $ 5000 only $ 500 of real money requrie or 10% of the nominal value of the contract. If the grain goes in value, and the contract has a value, say, $ 5,500, the speculator has made $ 500 on his back the original $ 500 for a 100%. Comparison with the stock regularMarket, leverage limits of 50%, so that requires $ 5000 shares worth at least $ 2,500 in capital. If the stock rises to $ 5,500 in value, is to win the $ 500 against $ 2,500 invested, for a return of "only" 20%. The return is 100% sure a lot better, right?

One can easily see why investors are looking for quick profits hypnotized by the lure of big profits with the highest trading commodity futures. The real problem is that leverage works bothDIRECTIONS. It is possible the entire investment in a few minutes through the turns wild price that sometimes occur in these volatile markets to lose. Suppose that the contract is $ 5,000 to $ 4,000 in value instead of increasing. They have not only the original $ 500 you have lost the contract in place, but an additional $ 500. You can quickly go broke in this way.

So why do people play this game? Investors do not mean to wake up and say, "Okay, I think I start tradingRaw materials. "What happens is they get a sales pitch from a commodity trading" gurus "who claim a" system "to create an infallible wild profits in this market. These" systems "in price from $ 25 to $ 5,000 or more and are based on the promise of "huge profits" from selling a small initial investment.

Writers newsletter or commodity gurus regularly pitch the myth of turning $ 5,000 into a million dollars in less than a year. The typical commodity systemBad luck comes in a long sales letter or brochure that describes a method for the extraction of "9 out of 10" or similar trades inflated.

Of course, if it were possible to trade successfully for 90% of the time, a person could easily raise millions of dollars in a very short period of time. Because these people are so anxious for you to spend $ 195 on their super-duper trading course? Because you probably do not make money with their trading program! And 'much safer to make moneySales of other, on the concept of the Commodity Futures Trading.

There is no sure way to make money consistently in these markets, simply because the underlying commodity prices can fluctuate wildly back and forth depending on a complex set of variables, many of which are completely unpredictable. Therefore, only the money people are constantly in the commodity markets, the broker to collect a commission, regardless of the execution of the operation if they have won or lost. Sinceare also a handful of successful professionals who live in these markets. But the vast majority of people who dabble in commodity futures lose money.

Unfortunately, with the lure of big returns and easy money, enter into a fresh culture of innocent traders market each year, only to be fleeced of their money in a hurry. Do not be one of them! Let the professionals at Commodity Futures Trading and keep up with the tedious forms of investment such as mutual fundsor stocks and bonds.

Commodity Futures Trading - why it was not for the average investor

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