Commodity Trading & Trend Following

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 [...]

One of the major issues to long term success in commodity trading or forex trading is to know what is the right amount of capital for ones portfolio. The issues are if do not trade aggressively enough you will not obtain results and vice versa if you trade too aggressively you will stand the chance [...]

There are countless criteria used by commodity, stock and forex traders. A discretionary commodity trader might seek out markets that in his or her mind that look like they are starting to move ( trend). A SP trader might short the SP 500 when the moon is full or some astrological incident ( Yes I [...]

I’ve read many of your articles, and I’ve included your name in my work. I’d appreciate if you answered a couple of questions to attach to my work.
1. What aspect of the Stock Market has caught your attention the most?
Actually I look at over 80 markets and the stock markets are just one of them…the [...]

Today what do you call a gold bug? Cautious, prudent ,scared or a trend follower?
The fact is that Gold is on the move once again. As I am writing this post gold is knocking on the door of $1020 again. Is it time to start gold prospecting? If you are a trend follower in [...]

There are many reasons commodity traders or even stock market investors fail.
Read this email that was sent to me. This is an example of one of the main reasons for failure.
Remember the charts condense all the economic, political and emotional expectations. And yes, every stock market movement is geared solely by expectations, not the [...]