Learn Commodities Tips
Just like in any other trade, to start commodity you must learn the basics of commodity before engaging in commodity. All beginners must take time to learn about the basics and spend some time practicing how to trade on a demo commodities trading account.
The path of learning commodity is a long one that will take at least 2 months or even more before a trader gains the required experience that is enough to help them open a live commodity account and trade profitably in the commodities market.
There are many commodity courses that traders can use to learn all about commodity. For example on this website traders can learn commodity lessons from the learn commodity lessons of this website. Commodities traders can also learn about the most commonly used commodity strategies from the commodity strategies section of this web site.
Traders can also learn about commodity technical analysis and learn the various technical analysis methods used to generate commodity signals when trading with these indicators.
Traders will have to learn about commodity charts and learn how to analyze commodity market moves from these charts. By learning how to analyze commodity chart movements traders can then know how to profit from trading these moves.
Traders can also learn about commodity platforms, the commodity platform is the commodity software that a trader will use to log in to their account and place trades on the commodities market. Commodities traders can learn about the basics of commodity platform as well as the advanced topics about commodity platform such as setting up commodity systems on the platform charts as well as how to setup automated commodity robots commonly referred to as Expert Advisors or EA Commodity Robots. EA Commodity Robots are used to setup automated trading.
How to Learn Commodities
As a trader is learning commodity from the commodity tutorial provided online at the same time traders should also be using a demo commodity account and practicing the knowledge that they are learning on their demo commodity account. The beginners will keep trading on this demo commodity account until they get enough experience to understand how the commodity market works. After traders have completed learning trading commodity and have gained enough trading experience on their practice commodity account they can then decide to open a live commodity and start investing and trading in the commodities market.
Commodity Tips
Take Time to Learn Commodity Trading Before Investing in Commodity Trading
The first thing that every trader should do is to take time and learn about the online commodity market before they decide to invest their money in this online market. For example, on this site there is a total of 100 learn commodity courses that traders should learn so as to understand & grasp all the basic trading concepts as well as advanced concepts that will explain to them what commodity is all about and the various commodity strategies used to trade commodity trading as well as tutorials that explain to traders how to manage their trading account balance. Trader also learn about commodity leverage, margin and how these two are used in trading and how commodity leverage can increase trading profits as well trading losses & also what margin is and how this margin is calculated and why traders need to maintain enough capital in their trading account when trading on margin using commodity leverage provided by their online commodity broker.
After learning all the commodity lessons, traders should create a commodities trading plan that will set the rules which they will follow when trading commodity. This plan will summarize all what they have learnt & will be used as a trading guide that a trader will use when trading the online commodities market.
Practice Commodity Trading on a Demo Trading Account
Next thing that a trader should do before they invest their money in online commodity market is to practice what they have learned & test their commodity plan on a practice account. The demo commodity account is where a trader can learn how to place trades & trade the commodity market but only that they will be trading on a practice account with virtual funds.
The demo commodity account is similar to the real account and the trading environment is the same as when a trader is trading the real market using real money, the only difference is that the money being traded with on a demo commodity account is virtual money & there's no risk of losing money when trading on a practice commodities trading account.
The commodities platforms of most online brokers will provide option of opening a demo commodity account, a trader can use this practice demo commodity account to learn about the commodity platform. Trader will also use this practice commodity account to learn how to trade commodity trading using the various commodity orders types provided & learn how to close trades.
The trader can also test any strategy or any automated trading bot or Expert Advisor before they decide if their strategy is profitable enough to begin trading with it in commodities market.
Use a Commodity Trading Plan & Stick To The Commodity Trading Plan
Traders should always use the commodity plan they come up with to trade the commodities market. The strategy that a trader chooses should be well written down in this commodity plan and the trader should always follow the rules of this commodity plan when deciding when to open and close trades.
If as a trader your chosen strategy is to use automated trading strategies & Expert Advisors then these automated strategy should be specified in your commodity plan. Whatever strategy you decide to trade with as a commodity trader, write it down in your commodity plan and stick to trading with that strategy.
Traders should also avoid emotions of fear and greed when trading in the commodities market. The commodity plan will help trader plan their trades and this way traders will not make trades based on their emotions. A commodities trading plan will help a trader set clear goals when trading and at the same time will help traders to stay organized when trading & thus ensuring the traders become more successful when trading in commodities market.
Keep a Commodities Journal To Track Your Trading Results
As a trader always keep a journal & record all trades which you open in this journal, writedown why you opened each trade, when you closed the trade & also the amount of profit or loss generated from that trade.
After a while you can then review the trades you have made try and look at why the losing trades made a loss and why the winning trades were successful & after which you can then try & do more of what makes you successful and less of what is making you to open losing trades & that way keep on improving on your trading strategy.
As a trader if you don't keep a trading journal you might continue making the same mistakes again and again without even knowing, but if you write and keep a journal and review this journal from time to time that way then you give yourself a chance to identify these mistakes that you make when trading from the review of your trading journal.
Choose a Reputable Commodity Trading Broker Before Open your Commodity Trading Account
Before you open a trading account with any commodity broker do some research & find a reliable commodity broker which you can do business with.
Selecting a good commodity broker will give you a chance at making trading profits from your trading activity. Choosing a broker that is regulated is the best advice that you can get. Regulated commodity brokers follow regulation rules set by their regulators & this means that these commodity brokers are the best to select from when opening an account as they are the most reliable because they are licensed & regulated which means that they are legitimate.
Open a Commodity Account When You Have Enough Capital To trade With
Commodities trading just like any other business requires that traders open an account when they have a good enough amount of capital to trade with.
Commodities trading requires that a trader starts trading with at least $1,000 if they will be trading micro lots & a minimum account balance of $100,000 if they will be trading standard lots. If as a trader you don't have the required capital it is best to save until the time you will reach the amount of money that will help you to open a well capitalized trading account. This will increase your chances of success when it comes to commodity trading in the commodities market.
Use Proper Commodities Money Management Rules To Protect Your Account
As a trader you'll need to protect you account balance when trading if you want to trade commodity profitably for a long time. The best way to protect your account is to learn about the proper commodity money management guidelines and follow these rules when trading the commodities market.
Commodity money management guidelines will ensure that you will protect the money in your commodity account & that you'll have a chance of trading successful. To be profitable and trade successfully in the long run a trader has to implement proper commodity money management guidelines when trading. The commodity money management guidelines that a trader will follow should be specified within their commodity plan.
Commodity money management guidelines will help a trader to minimize their losses & essentially help the trader learn how to protect the profits that they make in the commodity market using different strategies specified by the commodity money management guidelines. Commodities traders can learn about commodity money management from the learn commodity lessons section of this site.
Commodity money management will also help a trader know what amount of commodity leverage is best to use when placing trades. Commodity Leverage gives trader a great opportunity to make profits from borrowed capital. Commodities trading is very popular because of the fact that commodity traders using commodity leverage can use little of their investment capital and borrow the rest of the money to make a trade. By using commodity money management guidelines traders will learn how to use commodity leverage and know the best commodity leverage to use when trading based on the account balance they have in their trading account.
Because commodity leverage increases both the profits as well as the losses, traders must create rules on how best to use this commodity leverage when trading. By learning commodity money management guidelines used in Commodities traders will know how to decide what amount.
