Commodity Education

  • He is among the last few people to enter in the Bull Run.
  • He keeps on changing a Single Commodity.
  • Never kept the Stop Loss in the system.
  • Always the first one to exit from the commodity which is Bull Run, with minimum profits.
  • Don't have the Habit of Trading by Robotics Mechanism.
  • By doing Emotional Trading, Holding the position in Loss and cutting down the positions early in profit.
  • Lack of home work before entering in a commodity trade.
  • Lack of resources about the movements and news which affects the commodity markets.
  • Too much greed from a single commodity.
  • Was unable to stay away from the market when it is sideways.
  • Didn't invested money in sector, which are outperforming the index.
  • Listening to rumours and investing money there.
  • Never risk more than 10% of your trading capital in a single trade.
  • Always use stop loss orders (here you should know your loss you can given in a situation where the trade starts going against you.)
  • Never do overtrading.
  • Never let a profit run into a loss.
  • Don't enter a trade, if you are unsure of the trend.
  • When in doubt, get out, and don't get in when in doubt.
  • Only trade active markets.
  • Distribute your risks, equally among different markets.
  • Never limit of your orders, Trade at the markets.
  • Extra monies from successful trades should be placed in a separate account.
  • Never trade to scalp a profit.
  • Never get out of the market because you have lost patience, or get in because you are anxiously waiting.
  • Avoid taking small profits and large losses.
  • Never average a loss.
  • Never cancel a stop loss after you have placed it.
  • Avoid getting in and out of the market too soon.
  • Be willing to make money from both sides of the market.
  • Never buy or sell just because the price is low or high.
  • Never hedge a losing position.
  • Never change your position without a good reason.
  • Avoid trading after long peiods of success or failure.
  • Don't try to guess tops or bottoms.
  • Don't follow a blind man's advice.
  • Avoid getting in wrong and out wrong; or getting in right and out wrong. This is making a double mistake.
  • When you lose, don't blame it on luck.
  • It seemingly looks to be the simplest and most rewarding. But in intraday trading one has to be very fast and quick and have to be on your toes always, so there are certain rules (do's and dont's) which one has to keep in mind while trading in intraday commodiy markets
  • If the index is in positive from yesterday and the commodity you are holding is in minus, then it should be cut and if intraday trend of index is in buy, then one should buy a commodity which is in plus.
  • If index is in minus then one should look to short commodity which are in minus and not commodities trading in plus.
  • It is not necessary that a commodity which is weak today during intraday trading might be weak tomorrow also, simultaneously if a stock is strong today might not be strong tomorrow.
  • If internatioanl markets have gone up overnight, the markets here in all probably will open strong. So one should be quite careful when buying commodities as the general physocology of public is to buy when global markets is there.
  • Being a contrarian is very important while trading intraday.
  • Stop Loss is a must while trading intraday.