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

[MOON-moon]

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!

thanks, so much

 

[uttamkamlesh]

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.

For me volume from Cash market is helpful....anyways you have made nice observations but as you will mature with WW, you will feel it's simple to trade...no problems on judging volume confirmation....there may be chances that you may skip some trades...no problems....

...bearish WW on 15 min predicted the top of 5630.....then bullish ww on Daily after UP elections i traded...itna kafi hai....

 

[uttamkamlesh]

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[uttamkamlesh]

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...

1. Demo trade first on GCI terminal.
2. Yes! you can trade intra-day or inter-day.
3. Higher the TF better it is in all respects.
4. Crude Oil margin - around INR 20000, go to the website of your broker or MCX website.
5. Trade Gold-M, though everything can be traded.

 

[uttamkamlesh]

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

States like these will mature you for the better...it is common in trading....don't worry...take your time....take a break...and when you feel you are ready ...then again start afresh...

 

[piyush08]

For me volume from Cash market is helpful....anyways you have made nice observations but as you will mature with WW, you will feel it's simple to trade...no problems on judging volume confirmation....there may be chances that you may skip some trades...no problems....

...bearish WW on 15 min predicted the top of 5630.....then bullish ww on Daily after UP elections i traded...itna kafi hai....

haan... ye bhi sahi hai.. at most one might miss a few trades.. with time one will get feel of the pattern and know when to take and when to skip...

 

[piyush08]

okay.. i feel there is a swing trade in silver here.. Jan-Feb - big rally from lows.. good uptrend.. seen a decent correction lasting 3 weeks now.. one could buy around 57k with stop at 56.3k .. should get 58-59k in week 10 days time.. in general if silver has started fresh uptrend with the move in jan-feb then we should see new highs in some time also.. that would mean 63k+ type targets..

another way to trade this could also be via Silver-Gold spread.. Long silver/Short equal value Gold. You hedge rupee movement risk and slightly easier to carry position also.. for example today silver is outperforming gold by 0.8%. On a 20 lakh trade that means a gain of 16k with low volatility in P/L.

 

[murthyavr]

..deleted..

 

[vinst]

Comex Gold daily TF chart.
Gold has taken support on lower black line. Target upper Red line.

click the chart for full size.

 

[uttamkamlesh]

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