Commodity Trading & Trend Following

In these days it is hard to find confidence or trust in anything. As a long term trend follower the only thing I trust is price ( as well as my Golden Retriever, wife and kids). If I tried to trust anything other than price I would surely lose money. The reality is everything known [...]

After Fridays ( relief) rally is it safe to come out and play or invest? Probably not, As a trend follower the trend is still down on the SP 500. Even with Friday’s nice rally, the index is still below the 50 day moving average as well as most importantly 200 moving average.
Nothing has [...]

Rumors abound with the strength of the Japanese Yen if there will be an intervention to stop the trend. Many trend followers are long the Yen from various levels. Depending on their methodology and systems all have different entries however…I would dare to say all trend followers from forex traders to commodity trading advisors are [...]

Major Global Economic Concerns for 2nd Half of 2010
It is now clear that the global economic recovery is hitting a major wall of resistance. Just a few short months ago throughout the 1st quarter of 2010, the Federal Reserve was beginning to hold talks behind closed doors of how and when they might [...]

Yesterday I had an interesting conversation regarding courage and knowledge in commodity & forex trading. If you have been reading my blog you probably know my favorite two words for success in commodity trading are…Discipline and Patience…
However the idea of courage & knowledge puts a new light on the subject. The idea of knowledge, one [...]

You hear it all the time..A successful commodity futures trader or a forex trader does not over trade. However in reality …what does it really mean over trading? In my definition, over trading can be two fold.
Firstly the frequency of commodity trading ( forex) or the leverage of commodity trading (forex).
Anything done in excess is [...]

If you look in any commodity or forex publication you will see advertisements for mechanical trading systems. This is an area in which commodity traders as well as forex traders seek to find their holy grail. Well in reality this will not happen with any mechanical trading system on the market. However mechanical trading systems [...]

The reality is there exists a great deal of correlation between trend following commodity trading advisors… But there are always a difference in their returns…Many times because I have managed accounts I see a great overlap. It seems virtually every commodity trading advisor had the sugar trade. The sugar trade was a perfect setup. It [...]

Regardless if you are new to commodities (or forex) or if you have traded them in the past without much success and want to make a fresh start with either a commodity trading advisor or even a mechanical trading system … examine this preparation list to really determine if you are truly ready to begin [...]

Lets face it…everyone seems to hate the US Dollar…Seems every Forex trader wants to be short the US dollar. So many think the US dollar will crash ( maybe it will..who knows).. but what I do know as a commodity trader..when too many traders are on the other side of the boat… something happens. My [...]