how do i learn to trade commodities for myself and know whats going on with them?
2007-04-01 10:52:02 · 4 answers · asked by mike m 1 in Business & Finance ➔ Personal Finance
I was just getting ready to answer this question, but smiling nailed it, u trade on paper first, but lemme suggest this, just cuz ur trading on paper, dont go out and hypothetically buy a million dollars in m&m's that is to say, even tho your trading risk free on paper, look at it as your investing your nestegg, and if your children go hungry they will suffer, make sound choices, informed choices, if u hit a loss, feel the pain, if u make a profit revel in it, cuz i guarantee u, once u r done trading on lined paper and trading with dead presidents, if u hit a loss, u will feel it, and that pain will be very real
2007-04-01 11:11:09 · answer #1 · answered by Maryanne W 1 · 0⤊ 0⤋
These are good answers. There are a few things to keep in mind.
1. Use only risk capital.
2. Be realistic about losses. Set a risk threshold and stick to it.
3. If the trade doesn't work, don't hold expecting it to turn around.
4. Use options in the opposite direction to protect any futures contract if you cannot handle the full swing of the market.
5. Keep in mind that you can be right about trades only 3 of 10 times and still be profitable through realistic and prudent management.
2007-04-02 02:52:40 · answer #2 · answered by Jasin R 1 · 0⤊ 0⤋
Study thoroughly - Then make trades 'on paper' for a while to see how you do.
Remember: a fool and his money are soon parted. There's no get quick rich way.
Just a thought.
2007-04-01 10:57:01 · answer #3 · answered by smiling_freds_biz_info 6 · 0⤊ 0⤋
With someone else's money.
2007-04-01 16:30:21 · answer #4 · answered by Roger C 5 · 0⤊ 0⤋