tag:blogger.com,1999:blog-90811751683075431472024-03-13T08:01:21.833-07:00Commodities GuideHelpful Ramblings on Commoditiesjudesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.comBlogger37125tag:blogger.com,1999:blog-9081175168307543147.post-7244537824691051852010-03-15T12:10:00.000-07:002010-03-15T12:32:04.818-07:00Inventory Increase Sees Oil Prices Soar<div style='font-style:italic;' class='uawbyline'>By Lee Mel</div><br /><div class='uawarticle'>New data on the level of crude supplies was released by the Energy Information Administration today and helped oil prices cruise to their highest level of 2010, before a quick pullback later in the trading session.<br /> <br /> The Oil price contract for April delivery reached $83.03 in early trading on Wednesday as traders showed delight in the new data. A 1.4 million barrel increase was reported in crude last week for a 343 million barrel total inventory level.<br /> <br /> According to the Platts survey of analysts, the expectation had been for 2.1 million barrels. The much lower than anticipated level of inventory triggered an immediate upward reaction in trade as investors saw the lower than expected number as a sign of increased demand.<br /> <br /> Many analysts quickly pointed out that despite the smaller than expected inventory, on the whole, crude levels are still extremely high for the current oil price point. Speculators apparently agreed as after the immediate run up to $82, oil prices pulled back in the later morning of New York trade to draw near Tuesday's settle price near $81.50.<br /> <br /> OPEC, an amalgamation of the world's largest oil producing and exporting nations, says a stable global economy for the remainder of the year should see an increase in demand of over 900,000 barrels of crude oil per day.<br /> <br /> OPEC would prefer that oil prices remain at current levels, or go even higher. However, real data continues to suggest modest demand in oil-based products in the US. Business and consumers are still hesitant to begin traveling and transporting at pre-recession levels. Without significant gains in US oil demand, it is hard to imagine OPEC's forecast would hold true.<br /> <br /> Several lanalysts are continuing to call the current oil price levels(which are 17 per cent greater over the last month) too high based on supply and demand. Inventory data continues to remain near historical highs and OPEC has decided not to intervene greatly by significantly cutting production to drive oil prices higher.<br /> <br /> Still a major catalyst for the current firmness in oil prices appears to be its correlation with US stocks and the general sentiment of economic recovery in progress. Investors appear confident that at some point, the improved economy will shine through and generate more oil consumption by business and consumers. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Visit LiveCharts.Co.Uk for live <a target='_blank' href="http://www.livecharts.co.uk/MarketCharts/crude.php">Oil prices</a> and live spot <a target='_blank' href="http://www.livecharts.co.uk/MarketCharts/gold.php">Gold price</a>. </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-10060679339143727412010-03-08T08:02:00.000-08:002010-03-08T08:11:15.959-08:00A New Investment Strategy: Time<div style='font-style:italic;' class='uawbyline'>By Nelson Pellew</div><br /><div class='uawarticle'>Getting the better of the markets is never a straightforward proposition. Investments can be a problematic prospect, especially for the average investor whose only aim in to grow his or her nest egg. Indeed, in some regards these investors are the backbone of the industry. That being said, they can also be some of its most dramatic victims. One mismanaged trade can be the ruin of any fortune -- and often is.<br /> <br /> For this reason alone, many go-it-alone investors prefer to add a new dimension to their investment strategy: time. To the uninitiated, this means they prefer to trade in futures. This means investors can utilize traditional commodities or E-mini index funds to leverage the projected value of commodities at some point in the future -- hence the name.<br /> <br /> Given the fact that futures trading is not bound by the open and close of Wall Street, an investor can enjoy the privilege of round-the-clock trading via any global exchange. To be sure, the futures trader does not look to New York as much as he or she looks to the Second City, Chicago. The Chicago Mercantile Exchange is the mecca future traders turn to seek their fortunes.<br /> <br /> It should be noted that although futures allow for greater investment flexibility, they require ready access to significant amounts of liquid capital. That is, they require access to cash -- and lots of it. This is so because should your E-minis drop below the CME margin call, you will be required to ante-up, as it were. You can't take your place at the roulette wheel unless you can afford to buy the placards, you see.<br /> <br /> What futures promise -- and often deliver to the savvy strategist -- is the potential for dramatic gains. With a handful of E-minis, some commodities traders can reap a veritable financial whirlwind. Of course, this is subject to training and it would be in the best interests of the would-be futures traders to enroll in a <b>futures trading course</b> before embarking on too rigorous a trading regiment. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Heed the better part of your good sense and enroll in a reputable <a target='_blank' href="http://www.tradingacademy.com/courses/Futures-Trading-Courses.aspx">futures trading course</a> prior to frittering away your hard-earned capital. </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-6852496377932751812010-03-07T10:09:00.000-08:002010-03-07T10:21:22.279-08:00Futures: Soft Markets and Lots of Leveraging Power<div style='font-style:italic;' class='uawbyline'>By Nelson Pellew</div><br /><div class='uawarticle'>Stocks are temporary loans, for all intents and purposes. You acquire a certain amount, based upon your wherewithal, and then you take possession of a certain amount of certificates entitling you to the value of your investment. When the market value of these stocks increases, you can sell your stocks for the market value, entitling you to the difference. Hence, when yours stocks "go up" you make a profit. But, when your stocks lose value, you quite clearly lose value as well.<br /> <br /> Hard stocks, however, lead to hard losses. You may prefer the softer margins of the futures market. To begin this volatile career as a futurist, you need only pony up to the margins set by each commodity on the market. So, for instance, you like that the margin (think of margins as ante in a poker game) for wheat - or let's say sugar. The initial investment margin for a commodity, therefore, may be $5,000 or so.<br /> <br /> Once you have invested the initial margin amount you may begin to wheel and deal using smaller increments known as e-minis. Now, it may help you to think of this margin in term of your own home. Imagine putting down 20% of your home's value in order to steer its potential open market value. Heady stuff, indeed. But be wary and stay focused or you will suffer the fate of many a day trader in the 1990s.<br /> <br /> Now, thanks in part to the Online Trading Academy, let's indulge in a borrowed example. Let us presume that a given e-mini trading price is valued at $980. The market value is computed by taking the dollar value per e-mini point ($50) and multiplying it by the last trading price. Thus, $980 multiplied by $50 equals $49,000. Now, say the initial margin value, as set by the Chicago Mercantile Exchange, is $5,625. This means for $5,625 you can determine a futures contract worth $49,000. This represents a 9:1 leverage ratio.<br /> <br /> This tremendous leveraging power, however, comes at the cost of liquid capital. Replenishing undervalued or depleted e-minis means having instant access to cash. Your Roth IRA or trust fund will do you no good. If the market moves against your futures, you will be responsible for meeting your margins should they fall below market value. Failure to do so will handicap your ability to trade as quickly and lucratively as you might like. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Read more at article source: <a target='_blank' href="http://www.l2td.org/futures-soft-markets-and-lots-of-leveraging-power">Futures: Soft Markets and Lots of Leveraging Power</a> </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-68793139783015248482010-03-02T12:11:00.001-08:002010-03-02T12:11:22.418-08:00Future Trading And Commodities Tips<div style='font-style:italic;' class='uawbyline'>By Greg Luros</div><br /><div class='uawarticle'>When you want to start an own business and be certain of whether its legit, then you must consider looking the commodities supplied by the future trading commission. The future trading commission provides you with all secure facilities from keeping a check at the business plan you've got to the time you start your business. There are lots of things you have got to look when you pick a choice to start a business on your own. It's correct that these commodities future trading are not absolutely without any risk. <br /> <br /> you must bear in mind to have detailed info of what's going down and what can occur so that your money invested is safe. With the help of these future trading commissions you can get help to understand the danger factors concerned in your business. These establishments are well experienced and you can always depend on the info they supply. Well let's talk about the possible risk factors that can influence your commodity future trading and what these establishments would suggest. Few folk new in this sort of trading don't comprehend the significance of agreements they sign. Often what we see is these folk do not consider the debt which they have recently set while the contract was made.<br /> <br /> Occasionally this occurs when the trade is closed before hand. These institutes have given some proposals to stop the above situation. According to them if you habitually keep a watch on the exchanges which have been done between the parties then you can stop such situation. Masses of companies also outsource their roles to other parties. And once to get the above information then you won't be in a position to back off from the original agreement. Few things which are out of your control are the variations in these markets. And if the later happens then it's obvious that your business get actually badly influenced. And to avoid such drastic losses the establishment provides you with enough help. They'll then ask you to use those stop loss orders so that your risk levels are less. <br /> <br /> It's going to be of benefit for the business man to use these ideas for a better trade result. <br /> <br /> The most clearly done thing by the new traders will be waiting until the the stock costs rise. <br /> <br /> If you wait for the stocks to go high again you'll finish up saving nothing. Like you have risk in your credit card here too there are the same risk factors concerned. Some times what occurs is either one party decided to manipulate the IRs when they start realizing that the stocks in the market will be changing. Due to this, it's extremely crucial to have a track about the transactions manufactured by the other traders. The smartest thing will be to make a contract in such a fashion the other parties once agreed on the primary agreement will not have the opportunity to change it. Therefore it becomes vital to follow these commissions for trading business as you'll save your money or investments in your trade. <br /> <br /> In this trading where you aren't certain if it is going to achieve success all time but what you may be sure of is that you may be on safe side by taking help from these corporations. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Looking to find more information on <a target='_blank' href='http://www.commodityfuturetrading.org/'>commodity future trading</a>, then visit <a target='_blank' href='http://www.commodityfuturetrading.org/'>http://www.commodityfuturetrading.org</a> </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-76558208512994568882010-02-28T12:59:00.001-08:002010-02-28T12:59:09.754-08:00Futures Trading Like The Turtles Can Make You Rich!<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>Financial markets are huge. Daily billions of dollars change hands in these markets when different financial instruments change hands. You can trade stocks. You can trade bonds. Ever heard of the futures market and futures trading? Well, futures are a security just like stocks and bonds. Stocks give you the ownership in part of a company while bonds are issued by governments and companies to borrow money from the investors. Futures are somewhat different than stocks and bonds!<br /> <br /> A futures contract is a legally binding contract between two parties with a set of conditions for the delivery of the underlying asset such as a commodity or a financial instrument at some specific date in the near future.<br /> <br /> Futures market is a very important financial market that sets the prices in the retail and wholesale markets of commodities like wheat, corn,heating oil, oil, gasoline, gold, silver, cattle, soybeans, meat, hogs, coffee and many other foodstuff. Futures market was primarily developed for helping farmers hedge their risk while growing agricultural commodities. Agricultural commodities are a very important part of the futures market. Over the decades, futures contracts become popular on a host of other commodities and contracts.<br /> <br /> Futures contracts are by design meant to limit the amount of time and risk exposure experienced by hedgers and speculators. What this means is that all futures contracts are time bound and at some point in the future they expire.<br /> <br /> In the last decades, electronic trading has become highly popular among the traders. This includes futures as well. So, now you can easily trade these contracts by opening an account with a FCM brokerage and deposit an amount to start trading these contracts on margin. The minimum amount with most of the brokers is something like $5,000 but it can less too! Brokers allow leverage upto 10:1 when you trade on margin. Compare this to the leverage of 2:1 allowed by stock brokers.<br /> <br /> In US, open outcry trading still takes place during the official hours at the different futures exchanges. However, most of these futures contracts also get traded electronically. GLOBEX allows electronic trading of most of these futures contracts 23 hours each day. Electronic trading provides a more level playing field, more price transparency and lower transaction costs.<br /> <br /> CME, NYMEX and CBOT are the three most important Futures Exchanges. GLOBEX allows you to trade most of the contracts that get traded on these exchanges. The popular contracts that get traded on GLOBEX are the E-minis like the S&P 500, NASDAQ 100 and Dow. You can also trade E-mini gold futures as well as crude oil futures on GLOBEX.<br /> <br /> GLOBEX trading overnight tends to be thin and more volatile than during the official trading hours that are from 8:30 AM EST to 4:15 PM EST. If you trade financial news on Bloomberg or CNBC before the stock market opens officially, you will find quotes on S&P 500 futures and other taken from GLOBEX.<br /> <br /> These quotes are real time. There are many contracts that you can trade and the possibilities of making money in futures trading are immense. Imagine the prices of crude oil going up again just like what happened in the summer of 2008! Futures trading can be highly profitable but risky as well. Before you dabble in them, you should paper trade these contracts for at least a month just to get a feel of how to do it. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam has done Masters from Harvard University. Know this shocking <a target='_blank' href='http://www.ninjatraderblog.com/trading/2009/09/dow-futures/'> Dow Futures</a> Secret that can make you rich! Get this 49 page Quantum <a target='_blank' href='http://tradingninja.com/2010/02/swing-trading/'> Swing Trading </a> Report Plus the Profit Button Report that applies no matter what you trade FREE! </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-79228583420324092902010-02-26T07:25:00.001-08:002010-02-26T07:25:34.145-08:00The Future of Futures<div style='font-style:italic;' class='uawbyline'>By Nelson Pellew</div><br /><div class='uawarticle'>When one acquires a certain amount of stocks, based upon the market price, one is entitled to an equivalent amount of certificates entitling one to the aforementioned investment. When the market value of these stocks increases, you can sell your stocks for the market value, entitling you to the difference. Hence, when yours stocks "go up" you make a profit. But, when your stocks lose value, you quite clearly lose value as well.<br /> <br /> Now, rather than deal with hard market of stocks, you could opt for the softer market of futures. To begin your career as a futurist, you need only pony up to the margins set by each commodity on the market. So, for instance, you like that the margin (think of margins as ante in a poker game) for wheat -- or let's say sugar. The margin for a commodity may be $5,000 or so.<br /> <br /> Once you have invested the initial margin amount you may begin to wheel and deal using smaller increments known as <i>e-minis</i>. Now, it may help you to think of this margin in term of your own home. Imagine putting down 20% of your home's value in order to steer its potential open market value. Heady stuff, indeed. But be wary and stay focused or you will suffer the fate of many a day trader in the 1990s.<br /> <br /> Courtesy of the Online Trading Academy, let's indulge in a brief, but informative example. Let us presume that a given <b>e-mini trading</b> price is valued at $980. The market value is computed by taking the dollar value per e-mini point ($50) and multiplying it by the last trading price. Thus, $980 multiplied by $50 equals $49,000. Now, say the initial margin value is $5,625. This means for $5,625 you can determine a futures contract worth $49,000. This represents a 9:1 leverage ratio.<br /> <br /> The leveraging power of futures and e-minis is significant, but futures trading will require easy access to a great amount of liquid capital. Your IRA or trust fund will do you no good. If the market moves against your futures, you will be responsible for meeting your margins should they fall below market value. Failure to do so will handicap your ability to trade as quickly and lucratively as you might like. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>The futures market is a market ripe with <a target='_blank' href="http://www.tradingacademy.com/courses/Futures-Trading.aspx">e-mini trading</a> potential. To experience the leveraging power of the futures market, one must have the viable skills to make it a lucrative endeavor. Best of luck. </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-86039968566508736192010-02-18T04:23:00.000-08:002010-02-18T05:01:44.368-08:00What Are Trend Following Indicators?<div style='font-style:italic;' class='uawbyline'>By Gery Lermann</div><br /><div class='uawarticle'>Looking into trend following indicators which is a way that people will use to invest in the stock market. This strategy will be used to compare how stocks have done in the past, the trend of ways they have moved on the stock market.<br /> <br /> Using this method will be a way that people will know how and when to invest in the right stocks. Which will offer the best chance at profits, and how well they have done in the past will be figured into that strategy.<br /> <br /> When traders do this type of method they will not be forecasting the stocks and what is going to happen. Instead they are simply following a trend that has been shown in the past. Looking to the current prices of the stock, equity levels and what the market's current volatility. Those are the main components that will be used by the trader when using this method.<br /> <br /> Not a method that will be used on new stock that hasn't yet established any trend, but on those old standbys that have been around for a while. Price is always a top consideration when using trend following indicators. When a trader is using this method they will try and use indicators to figure ups and downs in the market.<br /> <br /> It will need to be decided how much will be traded during the trend and how long it lasts. When the market is at a higher volatility level size of trading will be reduced in order to cut losses. With trend following indicators, time and price will always be of highest importance.<br /> <br /> Using trend following indicators will allow you to answer the questions that follow. How to enter the market and at what time, the amount of shares you going to trade at each time. Money you will spend on each trade, cutting losses when it's not profitable, and how to handle a profitable trade. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Find more on <a target='_blank' href="http://www.trendfollowingstrategies.com/">best trend following system</a> and <a target='_blank' href="http://www.trendfollowingstrategies.com/">trend following systems</a>. </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-89057310039165602122010-02-13T09:06:00.000-08:002010-02-13T09:30:50.309-08:00The Falling Dollar Continues To Fall<div style='font-style:italic;' class='uawbyline'>By Brian Gosur</div><br /><div class='uawarticle'>What if you were the only one who knew that the American dollar was going to drop to zero? Would you tell anyone? Would it change the way you live? Would you see your economic future in a totally different way?Stop and think about it... Don't go crazy and start running around yelling, "It's the end of the world!" But let's stop and take a look mat this.<br /> <br /> Back in 1971, Richard Nixon talked the world into putting gold and silver aside as money and just continue to print the paper as money. Whenever that happens the economy goes up and down. This goes back to the Greeks and the Romans. Whenever a new Caesar would make his own money against using the gold and silver as money, the economic pendulum began to swing.<br /> <br /> Well known men, like Robert Kiyosaki and Peter Shiff say you can predict the future. You don't need some magical window either. Just look at what's in front of you. Open your eyes. Don't stick your head in the sand.<br /> <br /> The Federal government and Europe are printing paper faster then you can blink an eye. The faster they print the faster the value drops because there is nothing backing it up. It will continue to fall until it hits the bottom. What happens then? What happens to your savings?<br /> <br /> That is why gold, silver, oil, real estate continues and will continue to go up in value because the cash that we print is trash. Exchanging your green paper money for commodities such as these is a very smart investment right now. If you continue to work and save all your money, putting it into a bank or 401k, you will lose in the long run.<br /> <br /> Take silver for example. There is less silver then there is gold in the world. Silver is used far more in manufacturing then gold. It's used to make cell phones, computers, and electronics. Yet I can buy 60 ounces of silver for every one ounce of gold you buy. Silver is an incredible buy right now.<br /> <br /> Where will the price of silver be in five, ten years from now? No one knows. Some think it could go into the thousands per ounce. But one thing we do know, gold and silver prices are continuing to rise, and the dollar is falling...the dollar is falling! - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Looking to find the best deal on <a target='_blank' href='http://www.bgosur.com'>BrianGosur</a>, then visit www.wealthbygoldandsilver.com to find the best advice on <a target='_blank' href='http://www.wealthbygoldandsilver.com/subpage'>goldandsilver</a> for you. </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-43363848818088177742010-01-27T14:23:00.001-08:002010-01-27T14:23:37.986-08:00Don't Buy Gold or Silver for an Investment!<div style='font-style:italic;' class='uawbyline'>By JT Philips</div><br /><div class='uawarticle'>As you are currently well aware - the economy and markets are cyclic. In the past decade the value of metal based commodities have soared. The price increase for gold has been phenomenal. <br /> <br /> You hear advertisements on the radio all the time telling you that gold prices have soared to four times it's original value over the past 30 years. <br /> <br /> While gold and other precious metals seem to have exploded in value - there would be no gold in your pot at the end of the rainbow since the value has not kept up with the cost of living. The investment would have been like treading water. The investment in gold would have essentially stagnated over the past 30 years compared to your average stock gains. Precious metals investing over the past 30 years has not yielded returns anywhere near those returned by the stock market.<br /> <br /> Gold will always have value being that it is a rare commodity, just like diamonds. Gold and silver represent commodities whose value can stand the test of time. <br /> <br /> People tend to fall back into gold and silver investments during times of economic crisis.During one of our major economic turndowns in the mid 1970s gold and silver prices rose over four hundred percent while stocks fell precipitously.Gold has appeared to hit a bubble during this latest economic downturn.The quick increase in gold and silver prices appear to come out of fear versus actual inflation, which reduces the benefit of precious metals investing.<br /> <br /> Let's face it, over the long haul, precious metals are bad investments. Over the decades, gold and silver investments hardly match the cost of living increases.On the other hand, investing in precious metals is better than keeping cash under a mattress. However you can get better returns in stocks and realestate. Gold and silver can be a better investment if you buy a mutual fund of gold or precious metals. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Find great deals on <a target='_blank' href="http://kamikrainboots.com/">Kamik Rain Boots</a> and on <a target='_blank' href="http://talalaylatexmattress.org/">Talalay Latex Mattress</a> for your rain gear or sleeping needs. </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-62989803772292312592009-11-30T02:14:00.000-08:002009-11-30T02:36:14.419-08:00Sell Your Gold And Silver To Weather The Recession<div style='font-style:italic;' class='uawbyline'>By Eric Hoover</div><br /><div class='uawarticle'>Times are tough. Those who haven't already lost their jobs are concerned they might in the near future. Meanwhile, the cost of living is rising for millions of families. You may be a college student who needs funds for tuition and books. Or, you might be a stay-at-home mom trying desperately to make ends meet. Whatever your circumstances, there may be a solution hidden in your dresser drawers: gold and silver.<br /> <br /> Many people have old jewelry, tooth fillings, and coins that contain a healthy store of value due to their gold or silver content. These items sit at the bottom of drawers and are all but forgotten. If you need cash to weather the recession, selling these assets may be the quickest solution. Below, we'll explain why more people than ever are selling their gold and silver. We'll also give you a few tips for selling your precious metal.<br /> <br /> Stability In A Volatile Economy<br /> <br /> Regardless of the economic climate and the fluctuations of currencies (for example, the U.S. dollar), precious metals experience little variance in value. Of course, prices have risen and fallen over the years, but most economists agree that gold and silver tend not to deviate much from their normal price band.<br /> <br /> If you own precious metals, there's a good chance they are worth as much or more than their worth at the time you acquired them. They are a store of value, especially during a recession. Close observers of the market will have noticed that the prices of gold and silver have climbed over the past few years. Now may be the time to sell both for extra money.<br /> <br /> Where To Sell Your Assets<br /> <br /> There are several ways to sell your precious metals. Many people do so through online auctions and gold parties. Auctions are a hit-or-miss event; your assets may fail to generate interest. Gold parties are usually organized by a host who gathers a group of people along with a local buyer. The buyer will weigh each piece brought by attendees and make an offer.<br /> <br /> Selling to online buyers has become far more popular. The process is simple and low-maintenance, and sellers usually enjoy better prices.<br /> <br /> Getting The Best Deal For Your Assets<br /> <br /> In a way, the online market is similar to a swap meet. There are many buyers who are willing to make an offer for your precious metals. Some will offer a better price than others. Some will be more trustworthy than others. One of the advantages to selling online is that reputable buyers list the prices they're willing to pay. It's easy to compare them.<br /> <br /> One note of caution: don't choose an online buyer solely on the merit of the price they're willing to pay. Remember, some are unreliable. Sending your assets to them can be risky if you don't conduct a bit of due diligence. Call them on them phone to personally speak with them. Read the agreement on their website. By taking a few precautions, you'll receive a competitive price while enjoying a problem-free experience. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>The best online resource to <a target='_blank' href="http://www.refinity.com/buy/sell-coins">sell coins</a> or <a target='_blank' href="http://refinity.com/buy/sell-platinum-and-palladium">sell palladium </a> can be found at www.refinity.com </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-46926629093890253442009-11-29T15:08:00.000-08:002009-11-29T16:18:12.494-08:00Details Of The Gold Rush Of Australia<div style='font-style:italic;' class='uawbyline'>By Jack Wagon</div><br /><div class='uawarticle'>A Gold Rush can make an ordinary person a millionaire in just one moment. It can be defined as a time of passionate colonisation of labour into a region where there has been a detection of enormous amounts of gold. Gold rushes happened in'th century in Brazil, Australia, South Africa, Canada, and the United States.<br /> <br /> Gold rushes are generally marked with the upbeat, and optimistic feeling of something that is free-for-all. This makes it possible for anyone to become absolutely prosperous instantaneously. The definition given previously is what a gold rush was. A lot of people link gold rushes to the Californian gold rush, although it is a fact that the Australian gold rush remains to date as the richest gold rush of the world.<br /> <br /> In'51, the Australian gold rushes began, when Edward Hammond Hargraves went to Lewis Pond Creek with his guide John Lister. When they filled and washed a few pans, and then they got to know that the pots had gold. This information was spread over the world, and then during the next few weeks, large number of people from every where were seen digging, as if their living depended on this.<br /> <br /> Hargraves did not get an immense luck from gold. However, Hargraves named the Bathurst goldfield Ophir. Afterwards, James Tom, who was a planter, stated that it was not Hargraves, but actually he, himself who discovered the gold. Even then, the decision of the government went in opposition to him. Hargraves was known as the Crown Land Commissioner of New South Wales. William Tom, and John Lister detained one more enquiry, just earlier than he died in'99, and then it came in support of the maintenance alleges that were made. (According to brother of James Tom)<br /> <br /> The first discovery was in New South Wales, followed by Clunes, Ballarat, Buninyong, and then Bendigo Creek. Soon gold was found in all of the other Australian states. The first gold license was issued in Victoria on'51. Varying amounts of licenses were issued through out the country.<br /> <br /> The Victorian gold rush, after the Californian gold rush was the most immense amongst gold rushes of Australia. The gold rush had a massive significance, since it proved to be a turning point in monetary and political growth of Melbourne, and Victoria. During'51, more or less 250,000 ounces of gold was found.<br /> <br /> The gold rushes of Australia gave a lot of support in the development of the main areas of the city. It was a time when most of the telephone lines, and railway lines were constructed. The huge population of people gave rise to multi-culture, and racism<br /> <br /> In'52, more or less 370,000 people entered into the state, and resulted in the boost of economy. In'50s, approximately one-third quantity of the gold was discovered from Victoria. In two years, the population of the area increased from 77,000 to roughly 540,000. An interesting truth that should be mentioned here is that the number of immigrants that came into the area was far more than the entire number of criminals that entered in past 70 years. Hence, the number of people in the area rose three times between'51 and'71. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Jack Wagon is a gold investment expert. You can buy pure <a target='_blank' href="http://www.goldmadesimple.com/">gold bars</a> and get complete information about buying gold bars at his recommended site at <a target='_blank' href="http://www.goldmadesimple.com">http://www.goldmadesimple.com/</a>. </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-60350935326910187502009-11-18T08:25:00.000-08:002009-11-18T16:58:08.202-08:00Using LEAP Options<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>One person who made history with options was George Soros who is famously known as the man who broke the Bank of England. Great Britain was finding it difficult to stay within the tight exchange rate band set by the European Monetary Union (EMU).<br /> <br /> George Soros had this intuition that the Bank of England would be forced to devalue British Pound. So he bought call options on German Marks and put options on British Pound. He made a bet of $10 Billion by leveraging all the assets in his hedge fund.<br /> <br /> Bank of England had made a number of public statements regarding its intention of staying within the EMU. When George Soros made his bet on the intrinsic weakness of British Pound, other currency speculators followed suit and placed their bets too. This build up an immense selling pressure on the British Pound! Bank of England was brought to its knees as it was unable to sustain the immense selling pressure on the British Pound within a few days of the speculative attack on the British Pound. Bank of England was forced to devalue British Pound in a few short days.<br /> <br /> George Soros made a cool $1 Billion profit on his bet in a matter of a few days. When you a strong intuition, you should go for the big kill. Can you make such a bet? Maybe not but this one example show the immense power options have if used correctly. Options are risky; there should be no doubt about it.<br /> <br /> Most people who trade options lose money, plain and simple. Options give you the right to buy or sell an underlying security like stocks, futures, commodities or currencies at a price before a certain date. This price is known as the Strike Price. This date is known as the Expiry Date. However, in European Style options you can only buy or sell on the expiry date not before that.<br /> <br /> Trading options without training is risky. You need to learn the Options Greeks. One of the important things that you need to learn while trading options is the importance of time factor. Time factor is very important when valuing an option. Further out the options contract is from expiration, you will have to pay a higher premium. As the options contract approaches the expiration date and if it is out of money, it loses its value very fast.<br /> <br /> LEAP options are basically long term options. Leap options can help you profit over the long haul. You can use LEAP options in options strategies like the covered calls, straddles, spreads and so on. LEAP stands for long term equity anticipation. It basically means that the option is much like the regular option except that the timeframe to expire is greater than 1 year.<br /> <br /> LEAP options can be incredibly profitable if used correctly. However, LEAP options are risky because the option writer usually demands a hefty premium for taking on the long term risk. The buyer of the LEAP options has the right to exercise the option prior to expiration should the price of the underlying stock move in the money. Long timeframe means that the possibility of the LEAP options moving in the money is always high hence a high LEAP options premium.<br /> <br /> See, closer the out of money option is to expiration, faster its value drops. What this means is that the buyer of the options loses the premium that was paid for getting the right to buy or sell the underlying security. LEAP options can be a great trading vehicle for swing traders as they mitigate some of the time decay that is inherent in short term options. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam is a Harvard University Graduate. Learn <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/candlestick-charting/">Candlestick Charting</a>! Know <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/fibonacci-retracement/">Fibonacci Retracement</a>! </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-64167228897586398742009-11-14T11:33:00.000-08:002009-11-14T14:18:36.339-08:00Commodities Benchmark Gives Investors More Profits<div style='font-style:italic;' class='uawbyline'>By Selwyn Petrov</div><br /><div class='uawarticle'>A commodities benchmark is some type of standard which you can compare an investment by. A standard is very helpful for people trying to figure out how much profit they are making compared to other investments. People looking for high rates of returns may want to use other standards than those looking for long-term and safer purchases.<br /> <br /> The type of commodity you choose is also important. If you choose to trade crude oil, then you will want to compare your trades or investment to indexes that are made of energy commodities. This will give you a more accurate picture of the value your investment holds compared to the rest of the market.<br /> <br /> When you are trading crude oil, you will want to compare your investments to an energy index. If you are trading in a soft commodity, then you will want to compare your trades with an index weighted to soft commodities. You will also want to compare your investments to investments that are similar in size to your investment. So an ETF in gold should be compared with a precious metals commodity index while an ETF which follows agriculturals like wheat should shadow an index weighted to agriculture.<br /> <br /> A very common index used to compare various commodities is the Rogers International or RICI, while others include the CRB, the Goldman Sachs and DJ AIG commodity index. Using these indexes allows you to measure how your investments are doing compared to the whole market. By knowing how your investments are doing compared to the whole market, you will know if you are in the right area of the commodity market. This will be able to help guide you to the right place for your money. By using this strategy, you will be able to put your money in the most profitable parts of the marketplace.<br /> <br /> When using a commodity benchmark, you should always keep in mind that you want a relevant investment index for comparison. This is important, because the risk and growth factors are very different in various investments. If you are placing your capital in sugar, then you would not want to compare your investment to LME aluminium prices. If you did this, your sugar trade would appear to have a low return, even if it performed better than the industrial metals.<br /> <br /> You want to make sure that your index has similar goals and strategies for the investors who purchase them. If you are looking for high growth, then you should compare your investment to high growth indexes.<br /> <br /> For commodities investments, you will want to compare your investment to commodity indexes. This will show you if your investment is as profitable as other investments that are of the same risk level.<br /> <br /> If you want a broad view of how an investment is doing compared to commodities, then you will want to use a commodities index. This will give you guidance as to how your investment is performing compared to other investments of a very similar nature. When you use properly chosen benchmarks to judge your investment's performance, you are able to guide your capital to the most profitable investments available for your money. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>The author, Selwyn Petrov, pens articles exclusively on <a target='_blank' href="http://www.commoditycrunch.com">commodity trading</a> and associated matters. Learn more about the interesting features of <a target='_blank' href="http://www.commodity-trading-today.com/commodity-index.html">commodities benchmarks</a> here. </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-64931419477085055162009-11-13T11:53:00.000-08:002009-11-13T20:28:14.986-08:00Using ETFs & Mutual Funds<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>You will have to do a lot of research while selecting yours stocks for swing trading. Why not piggyback on the research done by wealthy fund managers and large financial firms. Name of the game is to find stocks that are not popular but have a great swing trading potential. Easier said than done! How do you find such stocks? Here is a very simple strategy that you can use to choose the hottest stocks best for swing trading. When a large financial firm builds an ETF, the first step is always to choose an index of stocks that is expected to outperform the market. The premise of the piggyback strategy is to use the large dollar research of the major financial firms to come up with new and fresh swing trading ideas.<br /> <br /> Large financial firms spend millions to choose the index on which they will base their ETF. The ETF is then based on this index of stocks. The price of the ETF then changes as the basket of stocks within the index moves. Why not piggyback on that research and save yourself a few millions? Cool, huh!<br /> <br /> So what is this ETF piggyback strategy all about? How do you implement this ETF piggyback strategy? Have you been investing in ETFs before? No! Then you need to do some research to find the best performing ETFs. Your first step should be to analyze ETFs. You need to make a list of ETFs that have outperformed in the last 3 to 6 months. This will give you an idea where the big money is flowing and which ETFs have buying momentum behind them.<br /> <br /> Mutual funds are supposed to be a safe investment. You can also piggyback mutual funds while picking stocks for your swing trading ideas. Now ETF piggyback strategy is still the best keeping in view the fact that only 20% of the mutual funds beat the passive benchmark over the long term. You can ride on the coat tails of fund managers who fall into this 20% category. However, ETFs are better than mutual funds as investment vehicles and in recent years have become highly popular with the investing public so stick with ETFs. After making your list of top 20, narrow it down to the five top performers and choose a few areas worth trading. Choose the best performing ETF in your opinion to begin with. Now you need to analyze the top ten holdings of that ETF.<br /> <br /> How do you research an ETF? You can do it yourself or you can subscribe to the newsletter of Big A, a former fund manager who recommends the hottest ETFs. If you want to do it yourself, just go to the website of the ETF. You can also use ETF connect.com. Etfconnect.com is a great resource for information on ETFs and closed end funds. With thousands of potential stocks to choose from, the piggyback trading strategy allows you as a swing trader to choose stocks that have a buying momentum behind them. What makes this trading strategy great is that it often generates fresh ideas for swing traders.<br /> <br /> Now another advantage of this piggyback strategy is that it can identify stocks that may not be household names to the average trader. With this strategy you will come across many stocks that may not be household names but have a great swing trading potential. ETFs can be utilized to find stocks for swing trading ideas that are based outside the US.<br /> <br /> There are thousands of ETFs in the market now. Some are country specific, some are industry specific and some are market specific. So you will have a lot of option in choosing the right ETF for your investment. The way to do that is to use the ETF piggyback strategy with either single country ETFs or regional ETFs. The single country ETFs invests 100% of their assets in one country. A good example can be the iShares MSCI Mexico ETF (EWW), an ETF that invests only in companies headquartered in Mexico.<br /> <br /> You can choose industry specific as well as market specific ETFs as well. Country specific ETFs and region specific ETFs have been just used as an example to illustrate how to hedge your risk. Hedging your risk is what a good investment strategy is all about. Instead of putting all your eggs in one basket, you should try to diversify your investment. A regional ETF covers several countries concentrated in a region. The iShares S&P Latin America 40 ETF (ILF) invests in Brazil, Mexico and Chile. So if you want to find international stocks for your swing trading strategy than you should begin by picking the region or the specific country.<br /> <br /> Are international stocks safe? You must be thinking why you need to think outside of US Stocks. International stocks also give you the ability to create some hedging strategies in combining US and non US Stocks into a pair trade in addition to volatility that you need as a swing trader. The traders who refuse to consider international stocks only hurt themselves because with the US in the mature business cycle, the real growth and volatility that you need as a swing trader can only come from international stocks. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam has done Masters from Harvard University. Try This Cash Printing <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/forex-signal-service/">Forex Signal</a> Service From Heaven! First practice on your <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/forex-demo-account/">Forex Demo</a> Account! </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-56066763469602303932009-11-13T05:24:00.000-08:002009-11-14T11:47:09.977-08:00Autotrading Exposed<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>Can autotrading make you rich? Well, it depends on your autotrading system. Many hedge funds and other entities that manage money through forex trading use some form of autotrading in their daily activities. Autotrading is common in the currency trading.<br /> <br /> Previously these autotrading programs also known as Expert Advisors or Forex Robots were expensive costing like thousands of dollars and only wealthy individuals or big institutions like hedge funds could afford them.<br /> <br /> However, the recent advancement in computer programming has made it possible for professional forex traders to team up with a software expert to develop their own autotrading systems. Many private individual traders have also begun to adopt autotrading to execute their thoroughly backtested and highly optimized forex trading strategies.<br /> <br /> The price of these Expert Advisors has also come down to around a few hundreds that can be easily purchased by ordinary investors like you and me. Metatrader platform makes it real easy to program such type of Expert Advisors.<br /> <br /> Recent advancements in computer programming has led to the development of trading platforms that allow an API ( Application Programming Interface) which connects the trader's system to the dealer's trade execution structure through the trading platform. So what is autotrading? You must have heard or read a lot about the benefits or advantages of autotrading.<br /> <br /> The trading system needs to be ruled based and mechanical in nature with clear cut entry and exit rules. Once all of the trading rules and criteria are determined by the trader, programming an API can be relatively straight forward for anyone with programming experience. APIs requires programming skills on the part of either the trader or a programmer hired by the trader. After the specific trading rules and criteria are determined, the trading strategy is backtested with positive results.<br /> <br /> Autotrading is almost as simple as flipping a switch to begin the trading process. When this occurs not only trades entered when predetermined technical criteria is met but trade exits in the form of stop loss and take profit rules can also be programmed into the API.<br /> <br /> However, before an autotrading system is put on live trading, it is thoroughly backtested and forward tested to make sure the likely success of the autotrading system. This creates an entirely self contained autotrading system. So autotrading can actually execute real trades on current real time market prices. When a predetermined signal emerges, the software actually places a trade automatically.<br /> <br /> In fact, autotrading is perhaps the best way to achieve it if the trader has optimized and perfected this type of black and white trading strategy that runs devoid of human judgment. Any nondiscretionary technical trading strategy that has clear cut, unambiguous rules is a good candidate for autotrading. Autotrading effectively eliminates all human biases, errors and emotions in the trading process.<br /> <br /> The best two forex autotrading systems are FAPT and Ivy Bot. There are a number of successful autotrading systems now available in the market for the ordinary retail investors. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam is a Harvard University Graduate. Try This Cash Printing <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/forex-signal-service/">Forex Signal</a> Service From Heaven! First practice on your <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/forex-demo-account/">Forex Demo</a> Account! </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-46405273441101483272009-11-12T14:15:00.000-08:002009-11-12T17:35:32.337-08:00What is Backtesting? (Part I)<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>What is Backtesting? You must have read a lot about the backtested performance of trading systems on websites. With Backtesting, traders can actually test their trading strategies and how well they would have done if executed in the past. Backtesting any trading strategy allows a trader to simulate its expected performance using historical price data.<br /> <br /> What type of a trading strategy can be backtested? Any trading strategy that does not have any ambiguity in its rules can be backtested effectively. Example of a simple trading strategy that can be backtested can be as follows.<br /> <br /> When the MACD histogram has crossed above the zero line and the DMI+ is above DMI-, go long when the 5 period moving average has crossed above the 20 period moving averages.<br /> <br /> Sell short when the 5 period moving averages has crossed below the 20 period moving average and the MACD histogram has crossed below the zero line and DMI- is above DMI+.<br /> <br /> Are backtested trading systems reliable? Why so much backtested performance is quoted on the websites to prove that the trading system is good? You must know that using the past price data to simulate future results often misleads traders into thinking that their backtested results will also give into similar results in actual real time trading. This one example is just meant to illustrate that any trading strategy having clear cut rules can be backtested with the historical data.<br /> <br /> Many potential factors can and will make hypothetical performance and actual performance differ significantly. So you should not fall into the trap of thinking that Backtesting may be a perfect method for identifying the most profitable trading strategies.<br /> <br /> One of the most important facts that you should always keep in your mind is that market change considerably overtime. A trading strategy that may have worked very well over the past three years may work in an entirely different manner for the next three years as the market changes and evolves.<br /> <br /> Often technical indicators that have been giving profitable signals in the past are subsequently unable to replicate their performance in the future. This may frustrate you. But this is exactly what makes trading a challenging endeavor.<br /> <br /> Secondly, real time trading and trading with the past historical price data are two different things. A trading strategy in real time may be much different from the way the trading strategy behaves on Backtesting in term of trade execution. These differences can potentially skew the results.<br /> <br /> However, Backtesting is still the best available method for evaluating a trading strategy without actually trading it in real time environment. Backtesting can provide a trader with a reasonable expectation of the trading strategy's potential worth and usefulness.<br /> <br /> Now let's discuss how to do Backtesting. Backtesting can be done by using two methods. The first one is the automated Backtesting. This is the most popular method. Automated Backtesting entails using a specialized program. The trader inputs the specific rules and criteria for the trading strategy into the Backtesting program.<br /> <br /> An entire picture of the past performance is created with the help of that software program. The software automatically applies those rules to the past price data and tallies the past hypothetical profits, losses and other information. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam has done Masters from Harvard University. Try This Cash Printing <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/forex-signal-service/">Forex Signal</a> Service From Heaven! First practice on your <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/forex-demo-account/">Forex Demo</a> Account! </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-89019389966554009742009-11-11T17:32:00.000-08:002009-11-11T18:47:37.382-08:00What is Backtesting? (Part II)<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>The first was doing automated Backtesting. Automated Backtesting is easy. The second method of Backtesting is performed manually and visually by the trader. The trader would take the historical data and scroll back in time on a chart and manually apply the trading strategy as if it was in a real time environment.<br /> <br /> The trader would advance the chart bar by bar in order to refrain from seeing price action subsequent to the trade at hand. This eliminates trading in hindsight that is detrimental to an objective backtest.<br /> <br /> The major disadvantage of Backtesting as compared to automated testing is the significant potential for human error in executing simulated trades and recording performance results.<br /> <br /> Additionally the normal range of human emotions and biases that often interfere with actual trading can be a detrimental factor in achieving objective backtest results. Furthermore, it takes a great deal of work and discipline to simulate trades manually over a large data set without straying from the strict rules of the trading strategy.<br /> <br /> However, this provides valuable trading experience although simulated but still a valuable trading experience that no automated backtest could possibly provide. Backtesting manually can provide the trader with the real feel for actually trading the strategy.<br /> <br /> Backtesting whether done manually or automatically can be one of the most important elements of building a solid trading strategy. Backtesting can save traders a great deal of time and money that might otherwise had been wasted on trading unprofitable strategies.<br /> <br /> Autotrading is the latest fad especially in forex where the number of major currency pairs is only six and this makes programming autotrading easy. Any mechanical trading system can be backtested. This leads us to the important question of autotrading. These autotrading systems are popularly known as Expert Advisors or Forex Robots.<br /> <br /> As compared to the forex market, only the US Stock Market has got more than 50,000 stocks listed with them. This makes programming a stock trading robot a bit complicated. However, during the past decade major breakthrough in computer programming has been made.<br /> <br /> Big institutions like banks, corporations and hedge funds have always been taking benefit of these autotrading systems. Backtesting is one of the most important components of testing an autotrading system.<br /> <br /> Backtesting and autotrading are two important components of implementing trading strategies that generally do not rely upon the trader's judgments or discretion. These types of strategies are primarily technical in nature, and they must necessarily have rules and criteria that are unambiguous.<br /> <br /> Backtesting allows the trader to determine if a given strategy would have been profitable using past price data, which is an indication of how it might potentially perform in the future. In contrast, autotrading actually executes real trades automatically according to a pre - programmed set of instructions that sets trade entries, stop losses, and profit limits. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam is a Harvard University Graduate. Try This Cash Printing <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/forex-signal-service/">Forex Signal</a> Service From Heaven! First practice on your <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/forex-demo-account/">Forex Demo</a> Account! </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-86957065962348185982009-11-10T00:38:00.000-08:002009-11-10T01:15:26.159-08:00Point and Figure Trading (Part II)<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>The most common amount of reversal threshold is three boxes or three points. A new column is only added when a reversal in an existing column exceeds the reversal threshold.<br /> <br /> The reversal amount in pips is 30 pips if the box size is set at 10 pips and the reversal amount is set at three boxes. So in case of a rising X column, price would need to turn back by at least 30 pips before a new O column would be added.<br /> <br /> By only focusing on the pure price action, a point and figure chart reduces the unrelated noise in the price action. These two variables the box size and the reversal threshold make the point and figure chart so effective at representing only the most major market moves disregarding all minor fluctuations known as noise. The significance of these two variables, the box size and the reversal threshold should be clearly understood.<br /> <br /> Since point and figure charts outline support and resistance so well, one of the best trading strategies in most common use with the point and figure charts is breakout trading. The point and figure charts are excellent indicators of both trend and support/resistance.<br /> <br /> In bar and candlestick charts, a double top is a potential bearish reversal signal. Now there is a notable distinction between the bar and candlestick charts and the point and figure charts in the interpretation of double and triple tops and bottoms.<br /> <br /> Are you familiar with the chart patterns like the double and triple tops and bottoms? They are taken as important reversal signals in the trend. However, a double top is a resistance point where traders should be looking for a bullish break to the upside on the point and figure charts. The same difference holds for the double bottoms as well as triple tops and bottoms.<br /> <br /> Charts patterns like triangles are prevalent as well. Like the horizontal support and resistances levels on these charts, the main method of trading trendlines and pattern on the point and figure charts is through breakouts. Point and figure charts also have their own versions of diagonal trend lines which are drawn at 45 degrees.<br /> <br /> The point and figure charts focus exclusively on the price action. Price action is the most important aspect of technical trading. Point and figure charts give a very clear view of the market movements.<br /> <br /> Point and figure charts had originated in the'th century. Point and figure charts are still popular with traders today as an increasingly relevant analytical tool for forex traders. It is because of this clarity in viewing and interpreting the price movements that the point and figure charts have withstood the test of time.<br /> <br /> Point and figure trading depends on the trendlines, support/resistance and breakouts. Point and figure charts excel at representing clear evidence of such important technical characteristics as trend, support/resistance and breakout without the extraneous elements to clutter the picture.<br /> <br /> Other data that is readily available on the bar and candlestick charts like time, period opens/closes are generally excluded on the point and figure charts. This leaves only the uncluttered purity of price action. Some may characterize point and figure trading as based upon pure price action. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam has done Masters from Harvard University. Try This Cash Printing <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/forex-signal-service/">Forex Signal</a> Service From Heaven! First practice on your <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/forex-demo-account/">Forex Demo</a> Account! </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-29352069448132589552009-11-09T08:14:00.000-08:002009-11-09T09:09:19.822-08:00Trading Multiple Timeframes<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>Have you ever traded multiple timeframes? No, then let me explain what multiple timeframe trading is. In multiple timeframe trading, a trader first looks at a longer timeframe like a monthly or weekly chart to determine the overall direction of the trend. Multiple time frame trading is a trading method used extensively by forex traders. It involves the use of multiple timeframes.<br /> <br /> If the trader finds a decisive long term trend on this timeframe, he/she then decides to drill down to a shorter timeframe like the daily or 4 hourly chart to look for dips or pullbacks in the trend.<br /> <br /> First identify the main trend on the long term chart. A minor downward retracement would represent a potentially high probability entry to get in the trend at a reasonably good price in a strong long term uptrend. Finally the trader may drill down to an even shorter timeframe like the 30 minutes or 15 minutes charts to pinpoint and time the exact entry.<br /> <br /> Learn to use multiple timeframes in your trading. How do you trade multiple timeframes? Suppose, you are interested in trading multiple timeframes! You identify the retracement in an uptrend on a 4 hourly chart. What you need to do is to wait for a resistance breakout on a 15 minute chart in the direction of the trend before entering into a long position.<br /> <br /> What make multiple timeframe trading so powerful is that it puts the traders on the right side of the market while also identifying the highest probability entries available.<br /> <br /> Have you heard of the triple screen trading method? One of the multiple timeframe trading strategies is known as Triple Screen. A triple screen resolves the contradiction between the technical indicators and timeframes. The first screen is the long term charts and strategic decisions on long term charts are made using the trend following indicators.<br /> <br /> The second screen is used to make technical decisions about entries and exits using oscillators. The second screen is the intermediate charts. Suppose your favorite timeframe is the 4 hour chart. Call it your intermediate time frame. The third screen can be an intermediate chart or a short term chart. The third screen is used to place buy and sell orders.<br /> <br /> Begin by looking at your favorite chart, the one that you use the most. Call it intermediate chart. Multiply its length by five to find the long term chart. Now use trend following indicators on the long term charts.<br /> <br /> Staying out of the trade is a legitimate position. Use these trend following indicators in the long term charts to make your strategic decision to go long, short or stay out of the trade.<br /> <br /> Return to the intermediate chart if the long term chart is bearish or bullish. Use oscillators like the Stochastics or RSI to look for entry or exit points in the direction of the long term trend. Set stops and profit targets before you switch to short term charts to fine tune entries and exits. To get at the short term divide the intermediate timeframe with 4-6. In our case, the intermediate timeframe is 4 hours, so the short term would be 1 hour charts.<br /> <br /> Use it on your demo account to get familiar with it before you trade live with the triple screen method. Triple screen is a simple but ingenious multiple timeframe approach to forex trading. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam is a Harvard University Graduate. Try This Cash Printing <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/forex-signal-service/">Forex Signal</a> Service From Heaven! First practice on your <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/forex-demo-account/">Forex Demo</a> Account! </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-26671485247808001822009-11-08T08:39:00.000-08:002009-11-08T08:42:28.210-08:00Trading With Point And Figure Charts (Part I)<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>There are a number of charts that are used in trading. The most popular are the bar charts and candlestick charts. Do you know how to read Point and figure charts? Point and figure trading in many ways is similar to the support and resistance breakout trading on bar or candlestick charts. The main difference is the look and functionality of the price charts themselves!<br /> <br /> Bar charts and candlestick charts show the high low open and close price for a given period. Point and figure charts represent price in a radically different manner from the more familiar bar and candlestick charts. Many forex charting platforms provide the option of point and figure charts.<br /> <br /> Point and figure trading is based exclusively on price action. Point and figure charts are a pure price action play because these charts generally exclude all other elements like time, volume and open/close other than price.<br /> <br /> Technical analysis is the study of price action. Technical analysis is used to predict or confirm an uptrend or downtrend or a consolidation in the market. Point and figure charts represent clear evidence of such important technical characteristics like trend, support/resistance and breakouts. Thus a point and figure chart focuses on the behavior of price action which is the most important factor from the technical analysis point of view.<br /> <br /> If you look at the point and figure chart you will see many columns with Xs and Os marked in them. How do you figure out what does this means? A point and figure chart has got Xs and Os. A point and figure chart is constructed with a column of boxes alternately labeled with Xs and Os. An X column means that the price has risen in that column. Conversely, an O column means that the price has declined in that column.<br /> <br /> So there is no concept of time in a point and figure chart. Only when price moves a significant amount regardless of time will an existing column grow or a new column is created. A new column is created going in the opposite direction when a reversal occurs on any column. So there is no time, volume, opens and close on point and figure charts.<br /> <br /> How is a point and figure chart constructed? It depends on two variables. The first variable is the box size. This is the minimum amount that the price is supposed to move before a new box in the existing column is created. These two variables can alter the way the point and figure charts look and act.<br /> <br /> X is equal to fixed price increase. Each X denotes a rising trend. For example, if a column of Xs has 10 boxes, price would need to move an additional amount equal to the preset box size before another X would be added to the top of the column.<br /> <br /> You can use the charting software to do the actual drawing. However, you should understand the concept behind the point and figure chart. Suppose, you are using the point and figure chart. You set the box size on the point and figure chart to be equal to 10 pips on the point and figure charting software.<br /> <br /> So 10 pips is box size or the minimum price increase! Now the price would have to move another 10 pips above each X box before another X could be added on top of that X. On the other hand, price would have to move 10 pips lower than the each box in O column to add another O box on the bottom of the column.<br /> <br /> The second important variable is the reversal amount. How do you decide to add another column to the point and figure chart? It depends on the reversal amount. This is the amount of pips the price needs to reverse before a new column is created. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam is a Harvard University Graduate. Try This Cash Printing <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/forex-signal-service/">Forex Signal</a> Service From Heaven! First practice on your <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/forex-demo-account/">Forex Demo</a> Account! </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-92052465079137832022009-11-07T20:12:00.000-08:002009-11-07T20:43:23.481-08:00Fibonacci and Pivot Point Trading (Part II)<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>Beginning with the main Pivot Point that is calculated from the previous day's key price points, the resulting support and resistance are subsequently derived from the following calculations. How is the pivot levels calculated? Beginning with the main Pivot Point that is calculated from the previous day's key price points, the resulting support and resistance are subsequently derived from the following calculations:<br /> <br /> R1 (Resistance 1) = 2PP-Yesterday's Low. R2 (Resistance 2) = PP + (R1-S1). R3 (Resistance 3) = Yesterday's High + 2(PP-Yesterday's Low).<br /> <br /> Main Pivot Point PP = (Previous Low + Previous High + Previous Close)/3.<br /> <br /> S3 (Support 3) = Yesterday's Low-2(Yesterday's High -PP). S2= PP- (R1-S1). S1 (Support 1) = 2PP - Yesterday's High.<br /> <br /> After calculating these points they are plotted on the currency price chart. Trader's can calculate the current days pivot points using the above formulas based on the previous day's price data.<br /> <br /> Breakouts or bounces may be traded with pivot points. Once these pivot levels are calculated and plotted, they are used in much the same way as Fibonacci Retracement. These pivot points are often also used as profit targets. Pivot points also indicate whether the market sentiment is bullish or bearish. Traders also use pivot points as reference levels to provide information as to whether the current price is relatively low or relatively high within its expected price range for the day.<br /> <br /> R1, R2 and R3 similarly S1, S2 and S3 are used as references in pivot point trading. If the price is near the day's S2, for example, traders may look for long trading opportunities with the view that the price will reasonably move towards equilibrium around the main PP level.<br /> <br /> You can also calculate the pivot levels for a week and for a month too. Instead of calculating the pivot points for the current day you can also calculate the above levels for 4 hour charts as well as 8 hour charts.<br /> <br /> Both Fibonacci and Pivot Points are excellent technical tools that often encompass entire trading discipline in themselves. Just replace the day's highs, lows and the closing prices with the appropriate time frame highs, lows and closing prices when calculating the pivot points for the other time frames.<br /> <br /> The pivot point can become the target low for the trading session in an extremely bullish market condition. This number represents the true value of a prior session. It is important to understand that especially in strong bull or bear market conditions, it can be used as an actual trading number in determining the high or the low of a given time period.<br /> <br /> Traders will step in and buy the pullback until that pivot point is broken by prices trading below that level. A retracement back to the pivot will attract buyers if the market gaps higher above the pivot point in an uptrending market. The opposite is true for the pivot point will act as the target high for the session in an extremely bearish market condition.<br /> <br /> Generally prices come back up to test the pivot point if a news-driven event causes the market to gap lower after traders take time interpreting the information and the news. Sellers will take action and start pressing the market lower again if the market fails to break that level and trade higher. Technically speaking, in a bearish market, the highs should be lower and the lows should be lower than in the preceding time frame. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam has done Masters from Harvard University. Try These Cash Printing <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/strignanos-forex-signals/">Forex Signals</a> From Heaven! Learn <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/fibonacci-retracement/">Fibonacci Retracement</a> </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-32253060534185374632009-11-06T17:39:00.000-08:002009-11-07T01:26:37.833-08:00Trading Divergences<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>Price oscillator divergences have long been acknowledged by technical traders as a solid indicator of potential price reversals. But it doesn't mean that divergences will always predict a reversal correctly. However, well defined divergences particularly on the long term charts can be surprisingly accurate in many instances.<br /> <br /> Price divergence oscillators can be spotted with just two elements on the price charts. Catching a major price reversal at the correct time can be so profitable that only a few accurate divergence signals are needed to offset the inevitable false signals.<br /> <br /> How do you determine a divergence? The first element is the price and the second element is an oscillator that runs either above or below a price level. This second element can be Stochastics, RSI, MACD or any similar oscillator.<br /> <br /> Many traders use Moving Average Convergence Divergence (MACD- pronounced McDee) as their sole confirming indicator. The MACD is among the most popular technical indicator or an oscillator invented.<br /> <br /> MACD is a multifaceted indicator that acts as a sign of trend momentum by representing the relationship between two moving averages. Some traders also take trading signals exclusively from MACD.<br /> <br /> You must have used MACD in your trading. MACD is basically the difference between two moving averages. MACD can be traded by taking signals from the crossovers of two lines, crosses above and below the zero line. Relative Strength Indicator (RSI) is another popular oscillator that provides a measure of price momentum.<br /> <br /> RSI is an indicator that gives overbought and oversold signals in ranging markets. However, its usefulness like most other indicators tends to diminish during a trending market. RSI may also be used for divergence purposes. Stochastic indicator may also be used for divergence trading.<br /> <br /> What is a divergence technically speaking? A divergence occurs when there is an imbalance between the price element and the oscillator element. Both begin to go separate ways and start telling opposite tales. This is the point when the oscillator is providing a strong hint that price may be losing its momentum and a change in price direction may therefore be impending.<br /> <br /> A bearish divergence occurs when the price hits a higher high while the oscillator hits a lower high. A bearish divergence is a hint for an impending reversal back down.<br /> <br /> A bearish divergence is an indication that price may soon turn and go back down as the higher high in the price may lose its momentum and begin falling.<br /> <br /> On the other hand, a bullish divergence occurs when price hits a lower low while the oscillator hits a corresponding higher low. A bullish divergence hints at an impending reversal back up.<br /> <br /> Divergences are often used as hints of possible turns and reversals. However, divergences are not frequently used as a full fledged self sufficient trading strategy. When used in conjunction with other trading tools, divergences can be a remarkably effective method for helping to time major market events. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam is a Harvard University Graduate. Try These Cash Printing <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/strignanos-forex-signals/">Forex Signals</a> From Heaven! Learn <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/fibonacci-retracement/">Fibonacci Retracement</a> </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-65112097310340463332009-11-04T09:07:00.000-08:002009-11-06T06:44:18.612-08:00Fibonacci ... Pivot Point Trading (Part I)<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>The use of Fibonacci retracement levels and pivot points are often considered by their adherents as complete, self contained trading strategies. Some traders are diehard fans of the Fibonacci and pivot point trading.<br /> <br /> Don't confuse the two methods as one. I want to make it clear the Fibonacci Retracement and the Pivot Points are two different methods and must not be confused as a single trading method. Both produce mathematically derived support and resistance levels that traders may use either as indicators of possible retracement turns or as zones to watch for breakouts. The horizontal price levels that are generated through Fibonacci retracement levels and the pivot points are calculated using different methods and formulas.<br /> <br /> One question that might bug your mind is that why these levels work in the market. What is the secret behind them? Why Fibonacci retracement levels and the pivot points work most of the time? What makes these tools work surprisingly well under diverse market conditions is the simple fact that many traders both small and large use Fibonacci retracement levels and pivot points in their trading.<br /> <br /> Therefore the levels derived from these two tools become self fulfilling prophecy. This is why significant price action occurs around these levels due to the fact that many traders are watching and reacting to these price levels.<br /> <br /> The most common Fibonacci retracement levels are 23.6%, 38.2% and 61.8%. These three Fibonacci retracement levels are most frequently followed by the traders. This phenomenon contributes to the Fibonacci retracement levels and pivot points frequent effectiveness and accuracy in describing the market movement.<br /> <br /> As said above, Fibonacci retracement levels are very popular among the traders. There is a full fledge Fibonacci trading method. You will hear very often, the commentary on CNBC or Bloomberg that price is approaching the 38.2% retracement level and something important like a turn could occur at this level. This shows the popularity of Fibonacci retracement levels among the trading community.<br /> <br /> Both methods have clear cut locations for the stop loss placement similar to most support/resistance trading methods. Fibonacci retracements can be traded either as a breakout opportunity or as a retracement bounce. Fibonacci levels can also be used as profit targets for existing open trades.<br /> <br /> Pivot points are leading indictors of the price action in the market. Pivot points are derived mathematically from the previous day's data that includes the previous day's high. Low and close. The main pivot point (PP) is calculated by taking the average of the high, low and close of the previous days' price action.<br /> <br /> From the PP, four other primary pivot points are calculated. Two are above the main PP and two are below the main PP. The levels above are R1 and R2 where R stands for resistance.<br /> <br /> You can easily find a pivot point calculator online. Most of the charting software also can calculate the pivot points. The two levels below the main PP are the S1 and S2 where S stands for the Support. Often these pivot points are further extended to R3 and S3.<br /> <br /> However, it is always good for the trader to know how these numbers are calculated. This will give the trader an understanding of how these numbers are calculated and what are the variables that are used to calculate them. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam has done Masters from Harvard University. Try These Cash Printing <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/strignanos-forex-signals/">Forex Signals</a> From Heaven! Learn <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/fibonacci-retracement/">Fibonacci Retracement</a> </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-26939032089384619442009-10-28T10:16:00.000-07:002009-10-28T16:12:38.312-07:00Tips on Sugar Commodity Trading, Watch Sugar Commodity Prices<div style='font-style:italic;' class='uawbyline'>By Marianna Gomes</div><br /><div class='uawarticle'>Traders looking at sugar commodity trading as a way to gain exposure to commodities as an asset class have some great opportunities, particularly with global agricultural prices looking set for long term increases. In the early 1970's sugar prices surged over 60 cents a pound and by over 40 cents a pound in the early 1980's at the tail end of the 1970's commodity bull market. Following the adverse impact of the global economic crisis in 2008, commodities in general and sugar commodity prices in particular are advancing strongly again, with sugar prices are at their highest for 28 years.<br /> <br /> There are numerous cases of serious sugar shortages as desperate consumers across Asia queue for small quantities of this key commodity. To think that while in 2007 India was a major exporter of sugar, with a surplus of five million tons, but from 2009 the country is a net importer. So what has caused this serious imbalance between world sugar demand and supply? After the shock of the global economic crisis, the US dollar is falling against other currencies and hopes of a strong rebound are causing real asset prices to be driven higher. Add in the weak monsoon season in India and very unhelpful weather for sugar plantations in Brazil, impacting adversely on sugar yields, and the result is raw sugar prices heading for a high of 25 cents a pound.<br /> <br /> Preparing for your sugar commodity trading analysis, find out where sugar comes from, in what forms and consider the recent phenomenon that threatens to change the dynamics of global sugar commodity markets in future. Between 75-80% of sugar comes from sugarcane, produced in over 100 countries globally, largely from the tropical and sub-tropical areas of the southern hemisphere. Rainfall is important for successful crop yields, with ideally around 600 mm needed annually. In addition to bad weather, crop infestation due to pests is another variable causing a rise in sugar prices on world commodity exchanges.<br /> <br /> The top producing nations are Brazil, which is also the largest exporter in the world, India, China, the EU, USA and Australia. One key factor which distorts world sugar markets is the subsidy regime in the US and Europe, which supports producers by giving them prices higher than the world price. Sugar is used in a range of fruit and vegetable formulations, in bread fermentation, and increasingly as source material for ethanol fuel.<br /> <br /> In 2007 there was a very tight balance between supply and demand, a situation almost certain to worsen as demand is expected to surge in developing Asia, particularly in BRIC nations like China and India. The largest consumer in the world is India, which is allocating far more sugar for ethanol as an alternative fuel. The world's third largest consumer and producer is China, and it is starting from a very low base of only 7kg per annum per capita consumption compared to USA per capita consumption of 45kg per annum.<br /> <br /> Brazil is the largest world producer and understanding this market will help your sugar commodity trading strategy. Brazil aims to avoid a sugar glut by using the potential excess sugarcane crop to produce ethanol for biodiesel, an alternative to petroleum-derived gasoline. Growing use of sugar to produce ethanol has arisen alongside increases in crude oil prices and a surge in demand for sugar in China. With high crude oil prices likely in the future coupled with growing demand, producers face huge challenges to avoid higher sugar prices.<br /> <br /> Armed with your chosen commodity trading system and good advice from your professional financial adviser, you can trade from almost anywhere in the world with good internet access. The #11 Raw sugar futures on the ICE US Futures platform is the most heavily traded sugar futures contract globally, followed by the #16 Sugar futures contract. It is also possible to use LIFFE CONNECT, part of the NYSE Euronext Group, to trade raw sugar futures. For those hesitant about leveraging in futures, an alternative could be to look at a soft commodity index using an ETF. Broadly speaking, higher sugar prices suggests sugar commodity trading looks very exciting going forward, given growing sugar consumption in the BRIC economies and rising demand for bio ethanol. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Covering soft commodities, the author, Marianna Gomes, writes articles for the <a target='_blank' href="http://www.commoditycrunch.com">Commodity Trading</a> Today website, a helpful informational resource. Discover more about how you could benefit from <a target='_blank' href="http://sugartrading.commoditycrunch.com">sugar commodity trading</a> suggestions here. </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0tag:blogger.com,1999:blog-9081175168307543147.post-29945672997516906402009-10-26T11:47:00.000-07:002009-10-26T12:41:37.318-07:00Candlestick Guide<div style='font-style:italic;' class='uawbyline'>By Ahmad Hassam</div><br /><div class='uawarticle'>Candlesticks have become popular in the Western trading community especially the United States in the past decade. However, candlestick charting methods had been developed by Japanese rice traders hundreds of years back.<br /> <br /> In the last two decades there have been seismic changes in the way people used to trade. The advent of internet has leveled the playing field for traders whether they trade stocks, futures, options, commodities, precious metals or currencies. Access to the market is now only one mouse click away.<br /> <br /> Internet has made commission rates dramatically lower. Market information is now in most cases freely available online. The result is that a whole generation of new traders and investors want to try their luck beating the market.<br /> <br /> Did you attend the last Steve Nison Candlestick Charting Technique webinar? Now, you should. Steve is the master of candlesticks and you can learn a lot from attending his candlestick. I am a great fan of candlesticks charting and I have seen many traders both new and professionals becoming die hard fans of candlestick charting. Why? Because candlestick charting is the best tool available. Can you beat the market? It depends if you are using the right tools.<br /> <br /> Why candlestick charting is superior to other forms of charting like the line charts, bar charts or point and figure charts? One of the best features of candlestick charting is its visual appeal and readability. You can glance at a candlestick chart and quickly gain an understanding of whats going on with the price action in the market.<br /> <br /> Opening and closing price levels can be a very important area of support and resistance from day to day. You can easily spot and opening and closing price of a security or currency on a candlestick chart.<br /> <br /> This information can be extremely useful for short term traders like day traders and swing traders. There are certain specific candlestick patterns that can help you identify when is the best time to buy, sell or wait on a trade or investment.<br /> <br /> Learning how to spot these candlestick patterns is very important for you. In order to trade and invest effectively using candlestick charts you need to understand these candlestick patterns. These candlestick patterns can be a real boon to your trading and you can combine them with other technical indicators for even more reliable results.<br /> <br /> Patterns appear on the candlestick charts as simple, single stick occurrences or complex multi stick formations. Many different types of candlestick patterns can tell you what may lie ahead in the market.<br /> <br /> You may use the information provided by candlestick patterns to decide when to get into a trade, when to get out of a trade or even when to hang unto a trade you are already in. This information can be highly valuable in knowing that the prevailing trend might reverse or continue.<br /> <br /> This is the best candlestick guide in the market and you dont need to waste your money on buying a guide because this candlestick guide is a complementary gift for you from the Options University. Download your 82 page candlestick guide here complete with strategy flash cards all free. - 31869</div><div class='uawresource'><div style='font-style:italic;' class='uawabout'><br /> About the Author:<br /> </div><div class='uawlinks'>Mr. Ahmad Hassam is a Harvard University Graduate. Try These 1500 Pips A Day <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/09/strignanos-forex-signals/">Forex Signals</a> From Heaven. Download Your Free 82 Page PDF <a target='_blank' href="http://www.ninjatraderblog.com/trading/2009/10/candlestick-guide/">Candlestick Guide</a>! </div><br /> </div>judesterhttp://www.blogger.com/profile/12284808995371995496noreply@blogger.com0