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!
Market made recent highs overnight, backed down and managed to close unchanged.
I think with this recent move, it is the Dow Jones average which is leading the way.
Below is a daily chart of the mini Dow Jones futures along with some Fibonacci levels.
My speculation is that an hourly close during the day session tomorrow above 10520 can trigger 10760,
on the flip side, an hourly close below 10435 can bring 10320 much closer.
Well like I said before, each day-trading session in the commodities and futures markets can wear a different dress. Today’s trading session was lower volume, indecisive to start with but with enough intra-day swings in price action to provide some trading set ups.
I mentioned before in this blog as well as in my day-trading webinar that if a trader can get an early sense to the type of trading day that is about to unfold, he/ she can really increase their chances by using methods/ indicators and set ups that work better for the different trading days ( trending, choppy, volatility on both sides etc.)
In between, below you will see a daily chart of the mini SP 500 with what may be some resistance levels on the way up and possible support levels if we decide to turn around and head back south ( last week we had more than a few changes in market direction)
Continue reading “EMini S&P 500 Charts, Day Trading Tips & Resistance Levels July 27th 2010”
It is a known fact that fear and greed can be a trader’s worst enemies. I’ve found one way that has helped some clients deal with fear and greed and their cousin, “getting out of winners too soon and staying in losers too long.”
In order to enter multiple contracts while day trading, one has to have the appropriate risk capital and margin requirements. But the advantage of trading more than one “unit” or splitting your trading size into two or more parts is as such:
If you enter a trade with one contract (or if you are treating your trading size as one unit, meaning you enter a trade with 4 contracts and exit the trade with 4 contracts), you can face a very quick dilemma (especially when day-trading). Consider the two following scenarios:
1. You get in and very quickly you are up 2 mini SP points…what do you do? Do you take profit? Bring your stop loss closer? How do you avoid getting out too early or too late?
2. You enter a trade and it goes against you rather quickly…if you get out then it is a loser…but the little voice in your head says “what if the market goes back up?”
Continue reading “One Way to Eliminate Fear and Greed While Day Trading”
Nice bounce after touching some FIB levels during overnight session/early morning. FIBONACCI levels been providing good support/ resistance levels so far when applied over multiple time frames. ( daily, hourly, 15 minutes etc. )
Below is a daily chart of the E Mini S&P 500 futures contract with FIBONACCI levels drawn.
Notice todays lows and highs.
We are closing against highs and some momentum during the night session can help this market visit 1099. Failure against the 1081 level and we are back to range bound trading.
A quick look at mini Russell 2000 daily chart, as I view the mini Russell as being the leader in price action amongst different indices over past few months.
Daily chart below shows how we’ve been making lower highs and lower lows.
If the pattern continues, I see us visiting the 553-556 area over next few days. On the flip side we need to see a break above 650 in order to provide the bulls with more courage.
Continue reading “Futures Trading Levels & Economic Reports for July 20th 2010”
Quick note about good trading days/periods, bad trading days/periods..
I sometimes hear from clients, that they are not happy because after a period of making money and trading well they are now in a period of ‘scratching’ or losing a ‘little’. If this is the case you are doing well! Why (you may ask)? Because if your bad periods are small losses or scratch, you will be there for the good periods and the next leg up hopefully. However, if your bad trading days/periods include very large losses or drawdowns you may have to go back to the drawing board since the math will not make sense when it’s all said and done.
I have detailed more on the subject in an article I wrote a few years back, called ‘Survivor day-trader’. If you’d like a copy, please send me an email with name, email address, tel number. Please specify if you are a client of cannon or not. I will only email the article to those clients/prospects who provided me with correct information. Thanks for your cooperation!
Continue reading “Futures Trading Levels & Economic Reports for July 19th 2010”
Interesting action today! Not sure what to make of it, there is a case for the bulls and a case for the bears. I am thinking that as a swing trader, one can try to short the market with a stop slightly above the recent highs ( recent high was around 1100 ). Taking the approach that while chances of getting stopped out are higher than normal, the relative risk is smaller than the relative potential reward. On the other hand, bulls may get more confidence going long if market breaks above 1103 or so..
Daily chart for review below.
Continue reading “Futures Trading Levels & Economic Reports for July 16th 2010”
Daily chart below of mini SP 500 shows that we are trading against some potential resistance right around the 1081 level. I think the next few days will carry higher volatility than last two trading sessions and should provide more volatility and ranges for day-traders.
Continue reading “Futures Trading Levels & Economic Reports for July 13th 2010”
Live Day-Trading Webinar with real time mini SP set ups – This Friday!
Space is limited.
Reserve your Webinar seat now at:
https://www2.gotomeeting.com/register/769060451
This Friday, July 9th , Ilan Levy-Mayer, Vice President of Cannon Trading and President / AP of LEVEX Capital Management Inc., a registered commodity trading advisor, will hold a live educational day trading webinar starting at 8:15 AM central time.
During the webinar, Ilan will:
Continue reading “Live Day Trading Webinar with Real Time Mini SP Set Ups – July 9th 2010”
The futures markets in general had some “futures trading to make up” after the long weekend and we some strong moves and bit more volatility in variety of commodity and futures markets.
I mentioned on Friday blog:
“Stock indices are getting a bit oversold and I suspect that sometime next week we should see a good, short covering rally. However, i don’t try to predict when it will happen but rather use price action with support/resistance lines to get a confirmation. Daily chart of the e mini Russell 2000 for your review below. A break above 613 would give me more confidence in taking a trade from the long side, until then the trend is still pointing lower.”
Well.. today we did see a nice rally that peaked at 612.20 on Sept. mini Russell and headed south afterwards.
In today’s chart I decided to share the popular and followed Dow Jones index. Same analysis from Friday still holds. While indices may be oversold, I would like to see more follow through on the buy side instead of price failure like we saw in today’s session. 9913 is my level to watch on the Dow Jones cash index.
