Note: Some of these exchanges are merging. Also, there are new exchanges emerging.
While commodities like beans, cotton, corn and wheat have risen in value as The BRIC Countries [Brazil , Russia , India and China] emerged increasing demand on world markets, we sit by and watch those market reports on the evening news. Traders are not well suited to trade everything available to trade just because they are traders. Traders need specialties!
The COSMIC Speculator, Matt Reynolds, focuses on the Russell Index Future, goes for the Gold or Copper in the Metals arena and Euro Future in Currency. He trades beans and oil as well as interest rates. While there are thousands of tradable stocks and options, Matt selects from what he considers the best… a few good commodities.... the trades that Matt believes will provide the highest potential rewards will be derived from identifying support and resistance in Commodities, Options, Stock Index Futures Metals, Interest Rates and Currencies.
Due to the economic growth of The BRIC Countries: Brazil, Russia, India, China world consumption has dramatically increased causing a surge in world commodity prices.
We trade these major commodity products: Crude Oil, Natural Gas, Soybeans, Cocoa, Coffee, Cotton and Corn. To select the best trades among these choices each week, we employ a combination of technical and fundamental analysis. Our objective is to position trade the prevailing trend of these markets; however, we may recommend some counter trend trades when markets are at extremes [support or resistance].
Our indicators attempt to generate specific technical signals of retracement. Sometimes, we see a substantial amount of money flow occurring from commercial interests as indicated by the commitment of traders [COT] report. If you are a large speculator, unlike us, the Commodities Futures Trading Commission [CFTC] requires reporting of major holdings of one commodity.
When position trading, longer time frame charts are viewed to recognize patterns that could materialize into high probability trades. For example: monthly, weekly and daily and, sometimes, hourly charts are watched. We look confluence among multiple time frames that are all generating signals in the direction of the trend and we use multiple support/multiple resistance, on multiple time frames to get into the market.
Even though we conduct our in-depth research over the weekend for reporting to you on Sunday when the markets are still, the entries we forecast may not materialize on Monday or Tuesday. Sometimes the condition triggers on Wednesday or Thursday but perhaps never. Not all setups trigger!
We look to confirm the generated signal with COT and supply and demand ranges. Once we have determined our current direction and possible entry price, we shift to a 21 minute chart to pinpoint entry by applying the Derivative Concepts Zone-Trader Philosophy while viewing our proprietary indicator called volatility measurement built from volume and open interest [VMI-VOI].
DISCLOSURE: The High Degree of Leverage Often Obtainable in Commodity Trading Can Work against You As well As for You. Use of Leverage Can Lead To Large Losses As Well As Gains.