Investment is a game of money of securing future money by taking a risk today. Trading therefore comes with a list of rules to play by. Commodity trading in particular offers tremendous potential for becoming a completely different asset class.
However, before investing in any kind of commodity, you must do an in depth research and also ask your broker as many questions as possible. Through this category archive we provide you as much information and valuable insights into the world of commodity trading.
We at Cannon Trading are here to help you with your commodity trading needs. You as a trader should select your commodity trading advisor only after performing a due diligence on him/her. We in fact do that for you. This way, you get only the best advice to help you with your commodity trading.
We’ve got the information that you might need at every step of commodity trading, and you’ll find it all right here in the commodity trading section of our blog. Read up, and read on to get equipped!
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.
In this webinar, we’ll tour the platform and take a look at how to utilize Order Flow, Delta Filer bars and other innovative features while observing a variety of futures markets with a focus on some of the smaller Micro futures contracts.
Our host, Antonio Sartorello of Volumetrica will guide attendees as the markets trade in real time. Learn more about VolSys’s core features
• Order Flow and it’s pullback bar
• How to use Advances T&S
• How to use Advanced DOM
• Delta Filter Bars to identify Strength/weakness
• Where are the big traders/ orders?
Attendees will receive a FULLY functionable demo with live data!!
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.
There will be few government reports released this week that will have much of an impact on equity prices.
This past Saturday we have entered the FOMC Blackout period which will last through the next FOMC Rate decision on Wednesday, June 14th and conclude at midnight on June 15th.
Since there is no significant data, we are certain Fed Policy makers will have been able to breathe a bit easier after the debt limit breach was averted.
Next week is going to be considerably different. Why? the Consumer Price Index will be released a day prior to the FED rate decision and may have an 11th hour impact on the policy makers decision to raise or stay firm at current short term fed fund rate. According to the CME’s FedWatch tool, the prospect for rate changes has been anything but sanguine. May 5th there was only an 8.5% chance of another .25 increase and as recently as a week ago there was an over 60% chance and as of todays date the tool is projecting less that a 22% increase by .25 to the .0525-.0550 area. . .
As I said about CPI at the moment the market is pricing in no change but a CPI figure reversing the slow downtrend in current price levels could immediately change the expectations for no change this go round.
Understanding expectations will allow you to trade with more confidence when there is a sudden change in policy directives!
In this webinar, we’ll tour the platform and take a look at how to utilize Order Flow, Delta Filer bars and other innovative features while observing a variety of futures markets with a focus on some of the smaller Micro futures contracts.
Our host, Antonio Sartorello of Volumetrica will guide attendees as the markets trade in real time. Learn more about VolSys’s core features
• Order Flow and it’s pullback bar
• How to use Advances T&S
• How to use Advanced DOM
• Delta Filter Bars to identify Strength/weakness
• Where are the big traders/ orders?
Attendees will receive a FULLY functionable demo with live data!!
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.
You’ll have the opportunity to practice trading highly liquid Precious Metals products while competing against other traders for the chance to win the grand prize of a 1 oz. bar of gold*.
During the challenge, you’ll explore our suite of precious metals contracts and test-drive strategies in a simulated environment. We’ll send you exclusive, daily education materials on precious metals contracts in order for you to feel prepared to trade and confidently compete against your peers.
In this webinar, we’ll tour the platform and take a look at how to utilize Order Flow, Delta Filer bars and other innovative features while observing a variety of futures markets with a focus on some of the smaller Micro futures contracts.
Our host, Antonio Sartorello of Volumetrica will guide attendees as the markets trade in real time. Learn more about VolSys’s core features
• Order Flow and it’s pullback bar
• How to use Advances T&S
• How to use Advanced DOM
• Delta Filter Bars to identify Strength/weakness
• Where are the big traders/ orders?
Attendees will receive a FULLY functionable demo with live data!!
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time
Hot market of the week is provided by QT Market Center, A swiss army knife charting package that’s not just for Hedgers, Cooperatives and Farmers alike but also for Spread traders, Swing traders and shorter time frame application for intraday traders with a unique proprietary indicator that can be applied to your specific trading needs.
The June dollar Index satisfied its second upside PriceCount objective and is correcting. At this point, if the chart can resume its rally with new sustained highs, the third count would project a run to the 106.50 area although the March highs would represent a significant near term resistance level to contend with.
PriceCounts – Not about where we’ve been , but where we might be going next!
The PriceCount study is a tool that can help to project the distance of a move in price. The counts are not intended to be an ‘exact’ science but rather offer a target area for the four objectives which are based off the first leg of a move with each subsequent count having a smaller percentage of being achieved. It is normal for the chart to react by correcting or consolidating at an objective and then either resuming its move or reversing trend. Best utilized in conjunction with other technical tools, PriceCounts offer one more way to analyze charts and help to manage your positions and risk. Learn more at www.qtchartoftheday.com
Trading in futures, options, securities, derivatives or OTC products entails significant risks which must be understood prior to trading and may not be appropriate for all investors. Past performance of actual trades or strategies is not necessarily indicative of future results.
Hundreds of “Hands Free” Automated Systems to Choose from!
Are you too busy to trade? Perhaps you’re not confident enough and you’re trading. Maybe you’re looking to the diversify your own trading with algorithmic trading or what we call automated trading. Browse over 500 trading systems. Review back test results, live results, drawdowns, returns and much more!!
Questions about the markets? trading? platforms? technology? trading systems? Get answers with a complimentary, confidential consultation with a Cannon Trading Company series 3 broker.
Trading Levels for Next Week
Daily Levels for June 5th, 2022
Would you like to receive daily support & resistance levels?
First Notice (FN), Last trading (LT) Days for the Week: www.mrci.com
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts herein contained are derived from sources believed to be reliable but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgment in trading.
Good Trading!
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
The US is in a period of high economic uncertainty. Over the coming days, we are expecting potential increased volatility across markets as the US government vote on the US debt ceiling deal by Wednesday evening (US Eastern Time).
Days to consider
• May 31: US House to vote
•May 31 or later: US Senate consideration
•June 5: Projected the “X-date” for default
Many reports are due tomorrow, the first trading day of the month/ June. Make sure to check out the reports section below.
Also keep in mind that due to Memorial weekend we just observed, crude oil numbers will be out tomorrow at 11 AM eastern
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.
Building a strong and effective working relationship with your commodities broker is essential to trading in the commodities market. By working collaboratively with your broker, you can better understand the complexities of the market, receive valuable advice and guidance, and ultimately make informed trading decisions. In this article, we’ll explore some of the best practices for building a strong working relationship with your commodities broker.
Communication is Key
The foundation of any strong working relationship is effective communication. Regular and open communication with your broker is essential to ensuring that you stay up to date with the latest market trends, trading opportunities, and risk management strategies. Make sure to communicate your needs and goals clearly, and be open to receiving feedback and advice from your broker.
Be Honest and Transparent
Transparency is crucial in building a trusting relationship with your commodities broker. Be honest and upfront about your experience level, risk tolerance, and investment goals. This information will help your broker provide you with the most relevant advice and guidance.
Take Advantage of Educational Resources
Commodities brokers often provide educational resources to their clients, including webinars, tutorials, and market analysis. Take advantage of these resources to deepen your understanding of the market and develop effective trading strategies.
Stay Informed
The commodities market is constantly evolving, with new opportunities and risks emerging on a daily basis. Make sure to stay informed about the latest market trends, news, and events that may impact your investments. Follow your broker’s social media channels, subscribe to industry newsletters, and attend industry conferences to stay up to date.
Set Realistic Expectations
It’s important to set realistic expectations for your commodities trading. While it’s certainly possible to make significant profits in the commodities market, it’s important to recognize that there is also a significant degree of risk involved. Work with your broker to develop a realistic trading plan that takes into account your risk tolerance, investment goals, and market conditions.
Develop a Risk Management Strategy
A key part of successful commodities trading is managing risk effectively. Work with your broker to develop a comprehensive risk management strategy that takes into account factors such as diversification, stop-loss orders, and hedging strategies.
Keep an Eye on Costs
Commodities trading can be expensive, with fees and commissions adding up quickly. Make sure to keep an eye on costs and work with your broker to find ways to minimize expenses while still achieving your investment goals.
Build Trust
Building trust with your commodities broker is essential to achieving success in the market. Make sure to follow through on your commitments, be transparent about your investments, and communicate openly with your broker. By building a strong foundation of trust, you can work collaboratively with your broker to achieve your investment goals.
Maintain a Long-Term Perspective
Commodities trading is not a get-rich-quick scheme. It’s important to maintain a long-term perspective and recognize that success in the market is often the result of careful planning, hard work, and patience. Work with your broker to develop a long-term investment strategy that aligns with your goals and risk tolerance.
Evaluate Performance Regularly
Regularly evaluating your performance in the commodities market is essential to achieving long-term success. Work with your broker to set realistic benchmarks for your investments, and regularly evaluate your performance against these benchmarks. Use this information to make adjustments to your investment strategy and to identify new opportunities in the market.
In conclusion, building a strong working relationship with your commodities broker requires open communication, honesty, and transparency. Take advantage of educational resources, stay informed about market trends and events, set realistic expectations, and develop a comprehensive risk management strategy. Build trust with your broker, maintain a long-term perspective, and regularly evaluate your performance to achieve success in the commodities market.
Ready to start trading futures? Call 1(800)454-9572 and speak to one of our experienced, Series-3 licensed futures brokers and start your futures trading journey with Cannon Trading Company today.
Disclaimer– Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. Past performance is not indicative of future results. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
This week more than most (and just wait ‘til next week), Washington D.C. holds the key to price action in the futures markets and more broadly, global economic sentiment. As of this writing, there are still no signs that negotiations regarding the raising of the U.S. borrowing level are approaching a breakthrough. Futures markets – particularly ones in the financial sector such as interest rate instruments, equity indexes and currencies are justified in their unease. If the U.S. government misses an interest payment and defaults on its debt, even for just a few hours next week, its creditworthiness could suffer long-lasting consequences. For proof, just examine the plans being made by this country’s three major ratings companies — S&P Global Ratings, Moody’s and Fitch Ratings. All three are prepared to lower the rating of the United States as a borrower and not just temporarily if lawmakers come to a late agreement. More proof: in 2011, even though a debt-limit deal was reached, the U.S. lost its S&P AAA credit rating – lowered to AA+ – and has not recovered since.
Metals:
Copper, ever eyeing the economic conditions within the world’s biggest consumer: China, continued to be disappointed in that country’s flagging recovery and slid to lows not seen since last November. The July contract lost over 10 cents today, intraday, a ±55-cent / $13,500 slide since the beginning of April.
Softs:
Today’s intraday high of $2.9590 per pound in July orange juice marks a new all-time high for this famed commodity (remember Eddie Murphy in Trading Places) reestablishing a significant price increase from ±$2.00 at the beginning of the year. The latest surge – a mere eight trading sessions – elevated prices ±55 cents – a ±$8,250 move.
Currency:
More often observed for guidance on other markets’ direction, the U.S. Dollar Index has cautiously moved up ±370 points / $3,700 off its lows near 100.00, a level down through which it has unsuccessfully tried to puncture three times this year, most recently at the beginning of the month.
It can’t be understated as we approach the date an agreement would need to be in place to deal with our federal government’s debt limit (approximately June 1) that traders across the commodities spectrum – including the aforementioned as well as metals, energies, even agricultural products – need to take heed when entering the markets. As we approach that point in time, markets may be more and more on a knife-edge and quick to react. While it’s more fortunate that the situation is “local,” as opposed to being influenced by international affairs and any developments tend to reported at a fast pace, trade with caution and alertness.
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.
THIS WEEK FOMC Minutes will be the big mover in addition to ongoing Debt limit increase negotiations between The Executive and Legislative branches of government. Minutes of the FOMC meeting of May 2-3 will be released on Wednesday at 1:00PM CDT. In the immediate wake of the FOMC statement there was optimism that Fed policymakers were leaning toward a pause in interest rates after a swift raising of the fed funds target range by 500 basis points that began 13 months ago. However, Fed Chair Jerome Powell pushed back against that perception in his press briefing on May 3. Although, he did say last week that tight credit conditions may limit the need for further policy tightening. In the weeks since the meeting, other Fed policymakers have cautioned against being too certain that more rate hikes are not on the way.
The minutes are likely to reinforce these views, and that these views probably haven’t shifted. The economic data released in recent weeks point to a still strong labor market and continued stubborn inflation. This is the formula that has kept the Fed on a path of further tightening to address imbalances in the labor supply/demand and reduce demand for goods and services that are pushing up prices.
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.
Then here is your golden opportunity. CME Group will be launching the Go for Gold Precious Metals Trading Challenge coming this June.
You’ll have the opportunity to practice trading highly liquid Precious Metals products while competing against other traders for the chance to win the grand prize of a 1 oz. bar of gold*.
During the challenge, you’ll explore our suite of precious metals contracts and test-drive strategies in a simulated environment. We’ll send you exclusive, daily education materials on precious metals contracts in order for you to feel prepared to trade and confidently compete against your peers.
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.
Join our private Facebook group for additional insight into trading and the futures markets!
In this issue:
Important Notices – Win 1 OZ Gold Bar!
Trading Resource of the Week – Why Do Most Future traders lose?
Hot Market of the Week – July Copper
Broker’s Trading System of the Week – Browse Hundreds of “Hands Free” Systems
Trading Levels for Next Week
Trading Reports for Next Week
Important Notices –
Are you ready to go for gold?
Then here is your golden opportunity. CME Group will be launching the Go for Gold Precious Metals Trading Challenge coming this June.
You’ll have the opportunity to practice trading highly liquid Precious Metals products while competing against other traders for the chance to win the grand prize of a 1 oz. bar of gold*.
During the challenge, you’ll explore our suite of precious metals contracts and test-drive strategies in a simulated environment. We’ll send you exclusive, daily education materials on precious metals contracts in order for you to feel prepared to trade and confidently compete against your peers.
Hot market of the week is provided by QT Market Center, A swiss army knife charting package that’s not just for Hedgers, Cooperatives and Farmers alike but also for Spread traders, Swing traders and shorter time frame application for intraday traders with a unique proprietary indicator that can be applied to your specific trading needs.
July copper collapsed to a new low for the move where the chart has met its second downside PriceCount objective. It would be normal to get a near term reaction in the form of a consolidation or corrective trade upon completing the objective. At this point, IF the chart can sustain further weakness, the third count would project a run to the 3.54 area.
PriceCounts – Not about where we’ve been , but where we might be going next!
The PriceCount study is a tool that can help to project the distance of a move in price. The counts are not intended to be an ‘exact’ science but rather offer a target area for the four objectives which are based off the first leg of a move with each subsequent count having a smaller percentage of being achieved. It is normal for the chart to react by correcting or consolidating at an objective and then either resuming its move or reversing trend. Best utilized in conjunction with other technical tools, PriceCounts offer one more way to analyze charts and help to manage your positions and risk. Learn more at www.qtchartoftheday.com
Trading in futures, options, securities, derivatives or OTC products entails significant risks which must be understood prior to trading and may not be appropriate for all investors. Past performance of actual trades or strategies is not necessarily indicative of future results.
Hundreds of “Hands Free” Automated Systems to Choose from!
Are you too busy to trade? Perhaps you’re not confident enough and you’re trading. Maybe you’re looking to the diversify your own trading with algorithmic trading or what we call automated trading. Browse over 500 trading systems. Review back test results, live results, drawdowns, returns and much more!!
Questions about the markets? trading? platforms? technology? trading systems? Get answers with a complimentary, confidential consultation with a Cannon Trading Company series 3 broker.
Trading Levels for Next Week
Daily Levels for May 15th, 2022
Weekly Levels
Trading Reports for Next Week
First Notice (FN), Last trading (LT) Days for the Week:
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts herein contained are derived from sources believed to be reliable but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgment in trading
RISK DISCLOSURE: Past results are not necessarily indicative of future results. The risk of loss in futures trading can be substantial, carefully consider the inherent risks of such an investment in light of your financial condition.
