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Category: Future Trading News

As a high risk trading type, futures trading is not for someone who is faint-hearted. Though there are a number of different ways of investing in futures , it is important to stick to what you know. Treading into unknown waters is not something that you should do when dealing in futures.

From managing margins to ordering trades to doing market analysis and more if you want to, you can do that all by yourself – but you may betaking double the risk. Therefore, when trading in futures, it may be better to seek advice from a professional trader.

Professional trading experts at Cannon Trading can help you with your futures trading. We are also there to keep you updated with the latest on futures trading and market news. All the news and latest articles on futures trading are published on our site under the category Archive Futures Trading News, which you are currently browsing through. Read more and the latest here and keep updated.

Negative Crude Oil Prices?? & Trading Levels 4.23.2020

Posted on by Ilan

 

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Dear Traders,
Negative Crude Oil Prices??
It is perhaps even more confusing than seeing negative interest rates to see negative oil prices. Both occurrences are quite rare, and there isn’t a lot of information out there explaining it, so let us attempt to clarify where negative pricing comes from and why.
Futures contracts are where oil is primarily traded. In a futures contract, an oil producer agrees to deliver a certain amount to an oil user. For example, Exxon, an oil producer, may agree to produce and distribute 3,000 barrels to Boeing, an oil user. Once the contract is made, it is traded on the futures floor, the price of oil fluctuates, and eventually the last person holding the contract when it expires owns the 3,000 barrels ( 3 contracts of 1000 barrels each). However, most people who trade oil futures are not oil users. So often, a trader who owns a contract that is about to expire will “roll the contract”, or sell it to an actual oil user.
On April 21st, 2020, the last day to roll MAY oil contracts, traders tried to sell these contracts, but for the first time in history, no one was buying. All oil users already had enough oil, so traders had to resort to giving the contracts away, and when even that did not work, the offered to pay these users to take the contracts off their hands, and thus, the negative oil price occurred.
A big reason oil users were not buying at any price was that their oil storage facilities were filled up. As a result, oil producers were forced to slow production, which actually costs them more money. So when the oil price dropped as low as negative $37 a barrel, it wasn’t that a negative amount of oil was produced, it was that no one wanted the oil that was already there.
Also we got MANY calls of clients thinking they can “buy oil at negative prices”, when crude oil or any other deliverable commodity gets into last trading days/ first notice days time frame, the only clients who should still be in there are pre qualified hedgers/ qualified traders who are ALREADY set up and well capitalized to either take delivery or provide delivery…..
From what I understand, a lot of this has to do with an OIL ETF that got flooded with “clients who thought oil prices were too low”….but this is a topic for another discussion.
Also in regards to Crude Oil futures – if you are actively trading this market, visit:

 

Good Trading

Trading Futures, Options on Futures, Gold 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.

 

Futures Trading Levels

04-23-2020

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Did you know?
Cannon offers over 12 TRADING PLATFORMS CLICK HERE for a demo


Economic Reports, source: 

BetterTrader.com
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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.

Can Crude Oil Go Negative again? Daily Copper Chart & Trading Levels 4.22.2020

Posted on by Ilan

 

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Dear Traders,
My support levels for Crude Oil futures ( see below) are showing some NEGATIVE values!! I never seen this until yesterday….
A more in depth piece on negative commodity pricing and some implications will come tomorrow.
In between it is a good time to remind you the following:
*Expect the unexpected…
* Volatility is a game changer!! One can not use the same concept/method/trading size today when volatility is extremely high versus periods like 4 months ago when volatility was relatively low.
*Trade smaller. The bands are much larger. Watch the VIX.
* Have an idea of what you are looking to do, keep in mind possible risk and have a game plan. Now more than ever, plan your trade and than trade your plan!
* Think money management, hedging risk while you are still trying to figure out how to profit.
* Know what is going on, reports, current margins, current limits and more.
* DO NOT assume anything…if you are not sure, contact us and we will try our best to assist with the combined, vast experience we have here as a team.
* Wash hands, take this seriously and do your best to stay healthy….

Good Trading

Trading Futures, Options on Futures, Gold 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.

 

Futures Trading Levels

04-21-2020

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Did you know?
Cannon offers over 12 TRADING PLATFORMS CLICK HERE for a demo


Economic Reports, source: 

BetterTrader.com
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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.

Crude Oil Futures Go Negative & Futures Trading Levels 4.21.2020

Posted on by Ilan

 

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Dear Traders,
These markets are EXTREMELY tough…even for experienced traders.
Did you ever think you will see crude oil trading at NEGATIVE prices?
What about limit moves which took place in more than a few markets? did you get stuck?
We don’t have a crystal ball, but we do have expert insights and over 30 years of experience assisting our clients using different approaches, options, spreads, combinations and more.
Sometimes just a second pair of eyes or voice o reason can make a big difference.
Our team of brokers are all series 3, most with over 10 years experience and can assist you in different ways.
Whether you an experienced trader who needs a second opinion or never traded futures before, a licensed Cannon Trading broker is ready to help.
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Daily chart of MAY crude Oil which is going into delivery tomorrow above…..Never say never in the business of trading…..I never thought I would see a commodity traded at negative value?!!

Good Trading

Trading Futures, Options on Futures, Gold 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.

 

Futures Trading Levels

04-21-2020

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Did you know?
Cannon offers over 12 TRADING PLATFORMS CLICK HERE for a demo


Economic Reports, source: 

BetterTrader.com
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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.

Enhance Your Trading w/ Series of Short Videos & ES Weekly Chart & Weekly Trading Levels 4/20 – 4/24/20

Posted on by Ilan

________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

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Trading 201: Enhance Your Trading With a Series of Short Videos
Watch the latest trading videos we’ve created and shared with our clients!
In this week’s newsletter we are sharing some videos on trading, each a few minutes long. The videos discuss practical tips for trading and sharing our experience with you. Whether you’re an experienced trader or a newcomer, we believe you can enhance and add something new to your trading after watching these videos. Enjoy!
1. Using Bollinger Bands as a possible tool for exiting trades
2. One way you can use the Parabolics study ( also known as PSAR) to manage your trades, possibly by integrating a trailing stop
3. Different ways traders can utilize support and resistance levels in their trading.
4. Entering trades on a stop, using “price confirmation”.
5. Utilizing Range Bar charts for shorter term trading as a way to try and filter out some noise.
6. How to identify support and resistance levels
7. Using fear and greed to day trade crude oil futures.
Stay safe out there both physically and in the markets…

Good Trading

Trading Futures, Options on Futures, Dow 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.

 

Futures Trading Levels

04-20-2020

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WEEKLY Levels for April 20th-24th
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Weekly NQ (mini NASDAQ 100) chart below for your review as we tested the 75% retracement levels on the volatile spike Thursday night!!!
Sign up for the Trading indicators here! ( red diamond = potential sell, blue arrows=potential buy etc.))
Click on the chart for LARGER IMAGE
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Did you know?
Cannon offers over 12 TRADING PLATFORMS CLICK HERE for a demo


Economic Reports, source: 

 www.mrci.com

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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 and Dow Futures.

What’s Your Trading Blood Type? & Futures Trading Levels 4-17-2020

Posted on by Ilan

Dear Traders,

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Trading 102: What’s Your Trading blood type?
This Is A Reprint Of An Article Ilan Levy-Mayer, VP Of Cannon Wrote For SFO Magazine A Few Years Back. Timeless Information Which We Wanted To Share With You:
Perhaps the greatest luxury I have in this business is the ability to observe the experiences of many traders with different personalities, life schedules and risk capital, each trading in a variety of markets. What most astute brokers realize is that, over time, as some individuals prematurely exit winners while others desperately cling to losers, it becomes quite possible to match different “blood types” of those traders with their correct “trading diets.” Clearly, we’re not talking the medical blood type here, but in the figurative sense it makes the right point. With practice, it’s not too hard to determine blood types (type of trading best suited to the individual) based on the personality of the trader, and then prescribe a diet based on that individual trader’s capital, experience, risk profile and schedule.

Good Trading

Trading Futures, Options on Futures, Gold 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.

 

Futures Trading Levels

04-17-2020

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Did you know?
Cannon offers over 12 TRADING PLATFORMS CLICK HERE for a demo


Economic Reports, source: 

www.forexfactory.com 
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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.

Trading Insight & Levels 4.16.20

Posted on by Ilan

Dear Traders,

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Different economic reports, like today’s retail Sales, are starting to come out for period of times affected by COVID 19.
Another example is tomorrow’s weekly unemployment claims.
*While I have no idea were the market is going from day to day, minute to minute, week to week etc. I do know that in the past, some of the sharpest and largest rallies were short covering after a large sell off. More often than not market sell offs and volatility like we are seeing do not end up as V type of action but more like U or W when it is all said and done.
*Expect the unexpected…
* Have an idea of what you are looking to do, keep in mind possible risk and have a game plan. Now more than ever, plan your trade and than trade your plan!
* Think money management, hedging risk while you are still trying to figure out how to profit – spreads, options, combo of futures and options…..
* Know what is going on, reports, current margins, current limits and more.
*Trade smaller. The bands are much larger. Watch the VIX.
* DO NOT assume anything…if you are not sure, contact us and we will try our best to assist with the combined, vast experience we have here as a team.
* Wash hands, take this seriously and do your best to stay healthy….

Good Trading

Trading Futures, Options on Futures, Gold 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.

 

Futures Trading Levels

04-16-2020

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Did you know?
Cannon offers over 12 TRADING PLATFORMS CLICK HERE for a demo


Economic Reports, source: 

www.forexfactory.com 

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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.

Trading 102: Learn To Lose & Trading Levels 4.15.2020

Posted on by Ilan

Dear Traders,

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Trading 102: Learn to Lose
Important NOTE: With The Recent Volatility Across Markets, We Have Seen Margins Increase In Some Markets As Well As Wild Swings And Extreme Volatility In Many Markets. For Some, It Can Cost The Full Account Value But Doesn’t Need To. These Volatile Times Require MAJOR Adjustments In How You Approach Trading And Risk Management. I Hope This Article Helps And I Encourage You To Utilize Our Brokers And The Knowledge They Have To Assist You..Contact Us
Many different factors go into trading. Too many to discuss efficiently in one blog post. Some relate to trading techniques, other to money management, mental aspect, risk capital and much more.
But one that sticks in my eyes is the inability to accept a loss. I see many clients who can make money and have days where they make money but when they lose, they lose much more, sometimes even losing control and losing a big portion of their account.
I am not sure how a trader can embed this into their trading mind, BUT in my opinion if you train your brain to expect losses, understand losses and that losing days will happen, you will increase your chances of surviving in this business, which in return will actually give you a chance to succeed….
Losses are part of trading and as long as your losses are part of the plan and are quantified in advance and you can adhere to your rules, then you have a chance. I think it’s easy when traders are winning…making money etc. Much harder when you lose or down. your brain starts playing tricks on you…it tells you to double down, maybe reverse even though your analysis does not say so….all of a sudden you start pulling trades out of instinct, fear rather than a calculated plan that has solid risk/ reward. If a trader learns how to lose, to accept losses, to have realistic expectations, then he/ she can avoid having one of those terrible days when traders can lose almost of all their account.
I went into this subject and detailed day-trading money mgmt in an article I wrote a few years back for SFO magazine.

Good Trading

Trading Futures, Options on Futures, Gold 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.

 

Futures Trading Levels

04-15-2020

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Did you know?
Cannon offers over 12 TRADING PLATFORMS CLICK HERE for a demo


Economic Reports, source: 

https://bettertrader.co

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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 and Gold Futures.

Futures Trading Levels 4.14.2020

Posted on by Ilan

Dear Traders,

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After a long weekend, OPEC cuts and more than a few tweets….markets re-opened last night with extreme volatility during the first couple of hours but volatility lost steam and the markets were a bit “more normal” as volatility relaxed a bit.
What I did notice today was some interesting possibilities/ risks in different spreads:
NQ versus ES
YM vs. RTY
Gold vs. Silver
back months crude oil versus near months…..
10 year notes/ 30 yr bonds….
If you never traded spreads before, it may be a good time to explore, try in demo, understand the advantages and disadvantages both for swing trading, longer term and day trading.
A good starting point, may be this article by my colleague Mark O’Brien about seasonal spreads.
Be on the lookout for another article / video on the topic in coming weeks.

Good Trading

Trading Futures, Options on Futures, Gold 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.

 

Futures Trading Levels

04-14-2020

3f7fefe6 71eb 4ccf 8b13 7b671feeb631
Did you know?
Cannon offers over 12 TRADING PLATFORMS CLICK HERE for a demo


Economic Reports, source: 

https://bettertrader.co

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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 and Gold Futures.

Good Friday Trading Schedule, ES Weekly Chart & Trading Levels for April 13th -17th

Posted on by Ilan

________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

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Stay safe out there both physically and in the markets….
It feels like a new world out there in so many ways. Trading is one as well….This is a TOTALLY different markets than what we witnessed 6-8 weeks ago, a year ago etc.
Know the rules, understand current margins, know where the circuit breakers are/ limit moves.
CONFIRM MARGINS WITH YOUR BROKER, margins are function of volatility, platform, exchange overnight and other factors and during this volatility, margins can change so if you are not sure – check with your broker!
Figure out your max risk.
After you do all that, feel free to trade but jumping in and trying to trade without the basic knowledge above is like jumping into a stormy ocean without a life vest…..
Here are some EXCELLENT resources to help you navigate these volatile times:
TRADING VIDEOS

Good Trading

Trading Futures, Options on Futures, Dow 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.

 

Futures Trading Levels

04-13-2020

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WEEKLY Levels for April 13th – 17th
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Weekly SP cash chart below for your review as we close RIGHT at the 50% retracement!!!
Sign up for the Trading indicators here! ( red diamond = potential sell, blue arrows=potential buy etc.))
Click on the chart for LARGER IMAGE
CQG SPC5 S%26P 500 Weekly
Did you know?
Cannon offers over 12 TRADING PLATFORMS CLICK HERE for a demo


Economic Reports, source: 

 www.mrci.com

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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 and Dow Futures.

Price Limits & Circuit Breakers info, Daily Emini Russel Chart & Trading Levels 4.08.2020

Posted on by Ilan

________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

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Below are the contracts which are entering First Notice or Last Trading Day for the upcoming month. Be advised, for contracts that are deliverable, it is our policy that all LONG positions be exited the day prior to First Notice and ALL positions be exited the day prior to Last Trading Day. If you have any questions please contact us.
Note about limit moves/ circuit breakers:
I’ve received some questions about the price limits or circuit breakers we have seen mostly in stock index futures ( recently more so in the meat market…Cattle, Hogs….). Hopefully this explains things a bit better.
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Good Trading

Trading Futures, Options on Futures, Gold 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.

 

Futures Trading Levels

04-08-2020

f88f1d80 7e00 42b3 9695 93bb8324e140
Did you know?
Cannon offers over 12 TRADING PLATFORMS CLICK HERE for a demo


Economic Reports, source: 

https://bettertrader.co

b49d5376 c52f 4848 8024 0c3653d86ec1

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 and Gold Futures.

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.