Tag : commodities

Never Add To A Losing Trade !
Never Add To A Losing Trade !

  TRADING THEORY—This rule is extremely important and I witness it being abused constantly creating tremendous loses that are sometimes difficult to come back from. Never add to a losing position because if the position continues to go against you and now you have added even more contracts which are all losing money your account will suffer loses much more…

Trading Theory–Limit Up/Limit Down Rule
Trading Theory–Limit Up/Limit Down Rule

TRADING THEORY—This is an outstanding rule to understand as when a market trades limit down such as what cotton did in today’s trading session that tells you there is a high probability that prices will open lower on the open in tomorrow’s trading session as buying limit down is a fool’s game. Remember when a market closes limit down there…

Mike Seery’s Daily Commodity Comments For 7-6-20
Mike Seery’s Daily Commodity Comments For 7-6-20

S&P 500 Futures—The S&P 500 in the September contract is trading higher for the 5th consecutive session up another 53 points at 3,168 continuing its bullish momentum still riding the coattails of last week’s monthly unemployment number. At the current I’m not involved, but I do believe that all time highs will be tested once again as the Nasdaq-100 continues…

When Is It Time To Get Out ?
When Is It Time To Get Out ?

    WHEN IS IT TIME TO SELL ? In my opinion if you are long a futures contract and you have lost 2% of your account balance on that trade exit and move on and look at other trends that are beginning as the theory states. Generally speaking if you long a futures contract I would place the stop…

When Should You Enter Into A Trade ? Look At Silver
When Should You Enter Into A Trade ? Look At Silver

When Should You Enter Into A Trade? I have been asked this questions on multiple times over the course of my 25 year trading career as I try to find the trend before entering into a bullish or bearish position as my rule states. I like to buy or sell a commodity when prices hit a 4 week high or…

How Much Money Should You Risk ?
How Much Money Should You Risk ?

What Does Risk Management Mean To You? I generally tell people that the reason people lose money in commodities is not due to the fact that they are bad at predicting where prices are headed, however they are bad when it comes to losing trades and refusing to take a loss which results for heavy monetary losses that are difficult…

What Is A Rounding Top Chart Pattern ? Look At Sugar
What Is A Rounding Top Chart Pattern ? Look At Sugar

What Is A Rounding Top Chart Pattern ? A chart pattern used in technical analysis which is identified by price movements that, when graphed, form the shape of an upside down “U”. A rounding top may form at the end of an extended upward trend and indicates a reversal in the long-term price movement. The pattern can develop over several weeks,…

Do You Trade With The Trend ? Very Few Trends Right Now
Do You Trade With The Trend ? Very Few Trends Right Now

TRADING THEORY—Trade with the short term trend, as the saying goes in futures trading the trend is your friend but sometimes you will be a market that is trending higher and then has a false breakout to the upside and then suddenly sells off causing you a 2% loss on your equity and you say to yourself that was a…

My Consolidation Rule ? Look At Peso & Cocoa
My Consolidation Rule ? Look At Peso & Cocoa

How long does a meaningful consolidation has to last before you enter a trade ? In my opinion I always want to see a consolidation that lasts at least 8 or more weeks before I would consider entering. The reason that I want a longer consolidation is to try and avoid a bunch of false breakouts such as a 10…

Very Important Trading Rule !
Very Important Trading Rule !

What Does Risk Management Mean To You? I generally tell people that the reason people lose money in commodities is not due to the fact that they are bad at predicting where prices are headed, however they are bad when it comes to losing trades and refusing to take a loss which results for heavy monetary losses that are difficult…