Commodity Trading & Trend Following

I had a colleague email me this….It is great…it should be read and reread
1. Never, Ever, Ever, Under Any Circumstance, Add to a Losing Position… not ever, not never! Adding to losing positions is trading’s carcinogen; it is trading’s driving while intoxicated. It will lead to ruin. Count on it!
2. Trade Like a Wizened Mercenary [...]

This selloff is not unexpected. We hit the upper channel lines and good news became bad news.

What is interesting is the potential significance of this selloff. Doug Kass noted the last two times the S&P 500 hit all-time high and closed down more than 1% from that high were 10/11/07 & 3/24/00. Those are dates [...]

I had this emailed to me this morning…Great point and analogy about Trend Following
Justin Vandergrift, of Chadwick Investments, draws a parallel to the long lines at amusement parks, like
Disney World. We wait in queue for 60-to-90 minutes, just for the thrill of a five-minute ride. As silly
of a ratio as that sounds, Disney has managed [...]

Countless traders flock to trend following stocks or trend following commodities. They think it is an easy way to pick up some extra cash or income. The truth could not be further. Most traders fail. Most trend followers do not have a trading plan or any discipline or patience to succeed. There are always losses [...]

Innovative Service for Trading Signals for MetaTrader 4 and MetaTrader 5
Metatrader offers a very unique service for both traders and trading system developers. Metatrader offers a platform for developers to sell their signals as well as this same platform for traders to pick and choose signals which meet their profit & risk objectives. This [...]

Everything boils down to risk per trade. What I have seen in this recent bull( parabolic) stock market move was some of the high priced stocks had tremendous moves. Look at $GOOG $REGN $PCLN. Follow your trading plan…Risk less than 1% of your account size on a position, watch your sector risk…as well as your [...]

What, how can that be? You are telling me it is possible to lose money even with a manager who over long periods is profitable?
Yes…100%
I have seen it time and time again in my career now spanning close to 19 years. First of all trading is tough. There are no gurus or magic managers. [...]

It Has Been a Very Challenging 2 Years for Managed Futures
For those that have invested in managed futures over the recent period, one word sticks out – TOUGH!
• Two Back to Back years of negative and sub performance
• Repeatedly Heard – Trend Following is DEAD!
• Received an Email – Find a New Line of Work!
• It is Never Easy!
• There [...]

past Performance is not indicative of future performance
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Marc Faber likes gold and is buying more. Faber keeps on adding to his position monthly however he refuses to leave gold in the USA. He tells the story how in 1933 gold was confiscated by the US Govt in the Great Depression…He only wants physical gold, not the EFT GLD.

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