Getting Started With Commodities
How To Begin Learning About Commodities
Someone who has never invested in commodities and has little understanding of the investment opportunities available must start somewhere to begin an education on the commodity markets. Commodities are very simple by nature, but the investment process can be more complicated. The first thing to learn is to begin with the basics of what a...
Are Farmers Good Commodity Traders?
Farmers certainly know agriculture, but does that make them good commodity traders? I thought about this questions many years ago when I started out as a commodity broker. I figured they are experts on corn or soybeans or cattle. Surely, they must know exactly where the prices are going. Well, I was a bit naïve back then, but I would come to...
How to Open a Commodities Trading Account
Opening an account to trade commodities is probably easier than you think, but it is a major financial transaction and you can expect to fill out some paperwork and wait a couple days before you can begin trading commodities.
Should You Trade Futures Contracts or Options?
Futures and options both have their pros and cons. Experienced traders often use both futures and options, depending on the situation. Some traders like to focus one or the other. It is best to fully understand the characteristics of each in order to decide how to trade commodities.
Different Ways to Invest in Commodities
Commodities have become a more mainstream investment class in the last decade, primarily due to the fact the commodities have performed much better than other investments. Today, investors have many new sources to invest in commodities.
How Long Does It Take To Learn How To Trade Commodities?
I often get asked - how long does it take to learn how to trade commodities? That is a tough question to answer. The short answer is that a diligent person can learn the basics of trading commodities in a couple months. The long answer is that it can take a lifetime to master.
Creating a Commodity Trading Plan
A Trading Plan is an essential component that must be in place before you begin trading commodities. We will go over the main features of a trading plan and how to create a commodity trading plan.
Top Reasons Why Commodity Traders Lose Money
Most commodity traders lose money trading commodities. We look at the top reasons why commodity traders lose money and hope to educate commodity traders how they can avoid these mistakes.
Commodity ETF - Investing in Commodities With a Commodity ETF
A commodity ETF is an exchange traded fund that invests in commodities through exchange traded futures contracts. The commodity ETF is a basket of commodities that is a simplified way to diversify your investment portfolio by investing in commodities.
Which Commodities Should You Trade?
One of the first steps in trading commodities is finding out which commodities you should be trading.
Learn More About Individual Commodities
Learning about each particular commodity is an important step before you begin trading commodities. The report includes profiles of grain, metal, energy, soft and livestock commodities.
Myths of Investing in Commodities
Myths of Investing in Commodities are discussed. Many investors don't utilize commodities as an investment because of many misconceptions people have of commodities.
Importance of Keeping Records When Trading Commodities
Keep good records of your activity when trading commodities. Learn how and why you should keep track of your commodity trades.
What Size of Account Should You Use?
What size of account should you start with to trade commodities? They can range from $2,000 and up.
Introduction to Commodities and Futures
Learning the meaning of commodities and futures markets and how to make money trading commodities.
An Educational Guide to Trading Futures
A publication by the National Futures Association that provides an overview of the opportunities and risks in trading futures and options on futures.
What You Should Know Before You Trade
A publication from the Commodity Futures Trading Commission(CFTC), detailing what you need to know before you begin trading commodities and futures from general understanding to the risks involved.
Realistic Expectation For Trading Commodities
One of the biggest mistakes new commodity traders make is having unrealistic expectations before they even place their first trade. The commodity markets are highly leveraged investments, which increases profits for disciplined traders and rapidly drains the accounts of reckless traders.
Only Use Risk Capital For Trading Commodities
Commodity traders should only use risk capital when they open a commodities trading account. If you cannot afford to lose the money, there is a high probability that you will not make money trading commodities.
Futures and Option Quotes Plus Commodity Charts
Quote and charts page for all actively traded commodity futures markets. You will find all the direct links to quotes on futures and option pages as well as charts on all commodity markets.
Commodities and Risk
The main reason why commodities are considered risky is that commodities are traded in futures contracts and they are highly leveraged. A commodity trader normally only has to put up 5 to 20 percent of the contract value to control the commodity investment.