Commodities Trading Advisors

Written by Michael Federico
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Some people see commodities as the ultimate market gamble. There are so many factors that go into determining the price of commodities from season to season that it is incredibly difficult to predict what will happen. For instance, if a person is dealing in orange juice he has to become a bit of a meteorologist, because prices can be greatly affected by frosts or lack there of. Similar issues come into play when a person buys or sells corn, coffee, or pork belly futures, as well.

There are firms that have made their fortunes by advising people about commodities trades. This is because people can make and lose large sums of money on the commodities market. However, advice from these major firms does not come cheap. Investors will usually be stuck paying astronomical fees and commissions, and unfortunately these costs do not disappear if the investor should lose money on a trade.

Developing Trading Strategies with Advisors

There are online services that have begun to provide training in commodities trading. They offer a number of different systems that can be put in place that will help a person follow the market and will help him to make trades at the perfect time. Some of these systems make interpreting futures indicators much easier, as well.

There are a number of advisors who have begun to focus on e-mini futures contracts. Many of these contracts are for commodities futures, and advisors have made it a point to help people become self-sufficient when they go out on their own to trade online. One thing that advisors can do is walk their customers through a number of commodities trades on paper. This allows a person to take a contract all the way from purchase to sale without ever putting any money into it. Advisors can then talk the person through the trade, pointing out mistakes that were made and giving suggestions that will allow the investor to correct those slip-ups.


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