How to trade Commodities - Gold, Silver, Crude Oil, Natural Gas

[uttamkamlesh]

If vol reduction then it would have been a WW ?

Many sources as read on internet does not give importance to vol conf.

See attached nifty chart is it a WW ? Vol conf is not there i guess, still went to EPA, what am I missing here !!!

Seeking vol config would have missed entry.

@UK
expert commets invited

1. yes !........
2. Go for the authentic info on WW in Bill Wolfe's manual...link is in the thread itself....he stresses for volume confirmation.......
3. This is Wedge....not WW....

 

[ethan hunt]

Diff between wedge & WW ?

 

[uttamkamlesh]

Diff between wedge & WW ?

Wedge with volume confirmation is WW....read more about wedges by Goggling.....

 

[ethan hunt]

thanks, I have a Q to ask, but will refrain till I get confused by reading wedges & WW.
Still wedge did work in case of Nifty

 

[piyush08]

I think at least another difference is that in WW point 5 actually breaches the extension of the 1-3 line.. whereas in wedge it doesn't. Apart from that wedge as a pattern doesn't have a pattern target.

But in general my feeling about the entire focus on volume is that markets have changed a lot from earlier and keep on constantly changing. My personal feeling is that volume as an confirmation indicator no longer provides meaningful or valuable input. I see it specially in international mkts, be it equities, fx or commodities.. most often volume is erratic and doesn't prove to be a meaningful indicator. Most ppl trading US equities complain the rise in S&P is with very little or low volumes and thus the rally doesn't have legs or is weak and doesn't have strength. But that has mostly proved to be false over the last 3 yrs.

Also, in our markets now there are lots of ways to take positions - cash equities, futures, options - buying & selling both. Plus futures provide leverage also. So many things. Thus what volume does one actually look to take a cue from? Cash/Futures? or both together? And how do you derive information from volumes in index options, as a lot of trading now happens there? Volume there could mean anything depending whether one is buying or selling and calls or puts.

 

[prabha55sm]

I think at least another difference is that in WW point 5 actually breaches the extension of the 1-3 line.. whereas in wedge it doesn't. Apart from that wedge as a pattern doesn't have a pattern target.

But in general my feeling about the entire focus on volume is that markets have changed a lot from earlier and keep on constantly changing. My personal feeling is that volume as an confirmation indicator no longer provides meaningful or valuable input. I see it specially in international mkts, be it equities, fx or commodities.. most often volume is erratic and doesn't prove to be a meaningful indicator. Most ppl trading US equities complain the rise in S&P is with very little or low volumes and thus the rally doesn't have legs or is weak and doesn't have strength. But that has mostly proved to be false over the last 3 yrs.

Also, in our markets now there are lots of ways to take positions - cash equities, futures, options - buying & selling both. Plus futures provide leverage also. So many things. Thus what volume does one actually look to take a cue from? Cash/Futures? or both together? And how do you derive information from volumes in index options, as a lot of trading now happens there? Volume there could mean anything depending whether one is buying or selling and calls or puts.

Dear Friends,
i am new to commodity, Kindly guide me... I decided to trade on gold and crude oil, like index futures can we trade it for intraday or have to hold it some days?. charting what time frame is best for commodities?

crude oil - how much is the margin required to buy 1 lot?
Gold - More no of Gold scripts are there like gold, goldpedal, goldm. which one i have to chose?
Pls help.. thanks in advance...

 

[MOON-moon]

scared to take any trade don't know why,, any suggestion - how to overcome this mental block

 

[prst]

Dear hunt you have already answered your query ....that's why i thanked your post yesterday...

1. there is no Volume confirmation
2. Give priority to Cash market chart....

is there a separate thread in TJ on WW?
would welcome such a thread..

 

[MOON-moon]

is there a separate thread in TJ on WW?
would welcome such a thread..

i think this is the thread

 

[tomjerry]

scared to take any trade don't know why,, any suggestion - how to overcome this mental block

Take a total break from market for sometime like 30min. or more as required and read book or watch movie or listen music or breathing yoga or etc.----relax and do the one that makes you most happy, once you find yourself that you are totally lost in that activity and forgot market and you are enjoying happily, then you are totally fresh---now have a fresh look at market and make a new strategic plan to trade again!

Happy Trading!