Trading Guide

Trading Article


Trading Navigation


|

Main Trading Home Page
Partners
Tell A Friend about us
Stock Trading Tips |
Trend Trading |
Trading Book |
Futures+trading |
Forex Trading Strategy |
Trading Commodities |
Forex Trading Online |
Future Trading |
Commodity Trading Advisor |
Trading Stock |
Online Trading |
Trading Foreign Currency |
Currency+trading |
Online Future Trading |
Currency Forex Learn Online Trading |

List of Trading Articles
List of Trading Links


Trading Best seller

Buy it Now!



Best Trading products

FOREX KILLER
SOFTWARE
Read more...

 

 

$77 Million
in 2 Years?
Read more...

 

6 Figure Jobs - Executive Job Seeker

 

DAY TRADING
FREEDOM...Read More...Click Here

Stock & Commodity trading
Easily spot market turning points in Stocks and Commodities. Fibonacci and Gann price and time secrets and software. Free 7 day e-mail course.

Intelligent stock trading
A how to guide showing you step by step how to at the very least double your investment every twelve months in the stock Market.

Social bookmarking
You like it? Share it!
socialize it

Newsletter

Subscribe to our newsletter AND receive our exclusive Special Report on Trading
Email:
First Name:



Main Trading sponsors

Trading

 

$77 Million
in 2 Years?
Read more...

 

 



 

Welcome to Trading Guide

 

Trading Article

Thumbnail example

Online Commodity Trading

from: www.TradingExposed.com


When compared with other trading options, commodity trading presents infinite options, which a first-time trader may find valuable and easy to understand.



It is fast becoming the weapon of choice for a growing number of people who want to earn big money from their investments. This is because commodities represent an ever-expanding list of products that may be traded, from metals and petroleum, to agricultural goods, to consumer products and even to certain financial instruments and currencies.



And with the current advancements in technology it is no surprise that traders are also able to rade commodities online.



Experts say that first-timers should begin with a combination of around six to eight commodities during their initial attempts to ensure proper monitoring and to be on the safe side, as well. Commodity trading is usually tracked on a daily basis, so it's best that there are only a handful of eggs in your basket at the onset to get a feel of how the market works.



In fact, even the most expert traders opt to have just around 8 markets under their wing, because tracking too many markets that are moving at the same time eventually becomes a tedious task.



Online commodity trading is pretty much the same as the classic trading environment with the trading floor and the broker in that all the basic principles stand. The difference is just the venue. There is no key trick to managing commodities online, but you just have to be very careful where you click because it could spell your undoing.



You may want to start with corn market, because its highs and lows are often predictable and you don't have to worry too much about high margins. Wheat is also a good first choice because it moves much in the same way as corn. In the meat market, cattle is a workable jump-off point, though some experts urge against it because it often leads to a pretty wide range.



Products will large ranges include soybeans, cotton and sugar. In the past, sugar was considered a low-margin good because you don't really risk much when you get into it. However, current conditions in the market are not so favorable toward sugar and sugar-related goods anymore that it's best not to gamble too much into it.



You can also engage in commodity trading via an account that is held by your chosen executor, by way of a written power of attorney. If you choose to take this path, you have to make sure this person is somebody you can trust because he will be making major financial decisions for you.



If individual movement is not your type, you can share the load by joining commodity-related mutual funds and commodity pools, like limited partnerships. Or, you can take the more convenient route and going through online commodity trading exchanges and spare yourself from to get up from your seat.



Perhaps the best thing about commodities is the fact that these low-margin markets, when combined with investments in the likes of stocks or bonds, are able to offset risks in your overall portfolio.



As mentioned earlier, the principles of online commodity trading and traditional commodity trading are one and the same. You just probably have to be more careful with making hasty financial decisions when transacting online, because the convenience can sometimes be a trap and cause you be too lax in getting enough knowledge to make intelligent choices.


Christine P. Gray is a recognized authority on the subject of online trading. Her website Trading Exposed provides a wealth of informative articles and resources on everything you will need to know about Trading. All rights reserved. Articles may be reprinted as long as the content and links remains intact and unchanged.






Other Trading related Articles

Mini Forex Trading
Foreign Currency Trading
Commodity Trading
Trading
Futures Trading

Do you want to contribute to our site : submit your articles HERE

This space can be enabled / disabled from your admin panel!

Trading Specific links

Trading News

No relevant info was found on this topic.