Managing Your Portfolio

A penny is currently worth more than one cent because of the meltdown value of copper. The value could go even higher in the future if the price of copper continues to rise. This article offers some insight and tips on how to profit from saving and collecting pennies and nickels.

Commodity prices tend to move higher during periods of inflation. Sometimes the economy exhibits high levels of inflation, as the late 1970’s is a prime example. Interest rates approached 18 percent to combat the high levels of inflation and commodity prices reached record highs during this period. Not all periods of inflation are this...

Trading commodities for a living is a dream for most new traders, but a dream is a far thing from reality. We will discuss some of the things you can do to prepare for a full time trading career and decide if you are prepared for such a venture.

There are several schools of thought on how much of an account a trader should risk on each commodity trade, but there is not any definite right or wrong answer to this question. However, money management is without a doubt one of the most important aspects of trading commodities and you should certainly know how much you are risk before you...

Greed could possibly be the greatest cause for commodity traders losing money. The enormous leverage in trading commodity futures allows traders to make very quick and large profits, but the same principle applies to losses.

Psychology plays an important role in trading commodities. The commodity markets can be confusing and many commodity traders make mistakes and lose because their minds were not focused.

Stop loss orders are a key component to your success in trading commodities and futures. Stop losses help to limit your risk and keep you disciplined when trading.

Managing trades in a commodity account requires keeping portfolio risk low, not risking too much on any trade, trade with the trend and use discipline when trading futures and options.

Bruce Babcock outlines the seven habits of highly successful traders.

Lee Gaus discusses controlling the risk in your trading by taking small losses and using stop-loss orders.

Understanding your personality traits and how they impact your trading can be vital to your success.

Knowing when to take a break from trading commodities and futures is critical to your trading success. Stress from trading commodities can cause you to make make bad decisions and ultimately lose you money.

Diversifying a commodities portfolio typically provides more steady and safer returns in the long run. This is true whether you are simply buying a group of commodities to hold for a long-term investment or whether you are managing a commodities trading account.

Taking profits in commodities is one of the more important aspects of the business of trading. New commodity traders are often conflicted with the emotions of fear and greed when it comes to taking profits.

Higher volatility normally means there are wider price swings and more risk when trading a commodity, but it also means you may need to adjust your trading strategy to fit the volatility of a market.