how does one deal in "Commodities"?

Question

what are commodities? how does one buy commodities?
what do you buy commodities?
when you say commodities do you refer to spices like pepper,sugar and turmeric?

Answer 1

I traded some commodities a few years back and lost over $4000. if you want to trade commodities be very careful as it is highly leveraged meaning you can make huge gain but you can also have huge losses. Trading commodities is similar to trading stock from a mechanical point of view. there are commodity options which work similar to stock options . The brokerage firms that handle commodities are usually not the same ones who handle stocks. Also, if you want live trade data commodity data is much more expensive than stock data or at least it was the last time i was looking at it.

xpresstrade.com is a good firm to start with to look more into this.

Answer 2

Commodities are the way to go but you need to educate yourself first. Follow the link to the best book going on trading commodities. You can thank me later. lol

Answer 3

crikies! another plunger who'd like to transfer his capital to me. Gotta love it.

you need to learn a lot. Start with yourself. Then put about half that much effort into learning to manage your account and positions. After that, you can learn about commodity trading. If you still want to.

If this process takes you less than months, I'll happily take your money.

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Btw, see my other posts for why someone else's canned trading methods usually fail.


enjoy