What Happened To The Commodity Markets ? The commodity markets were absolutely crushed this Thursday afternoon as some of these extreme losses I have not witnessed for quite some time as you are seeing 5% / 10% declines across the board.
The Federal Reserve announced that they will start to raise interest rates next year as that sent the momentum to the downside as investors did not like to hear that information as higher rates are bearish commodity prices. I have been trading these markets for around 30 years and I have seen a sharp sell-off before as we may have gotten a little ahead of ourselves, however I still believe you take advantage of massive sell-offs as the long-term secular bullish trends are still intact.
If you have been following my previous blogs you understand that I try to risk around 2% of my account balance on any given trade as this is an excellent theory. All you have to do is look at what happened over the last couple of days especially in the metals and the grains and if you do not follow that rule you could lose a substantial amount quickly.
If you are looking to contact Michael Seery (CTA—COMMODITY TRADING ADVISOR) at 1-630-408-3325 I will be more than happy to help you with your trading or visit www.seeryfutures.com
There is a substantial risk of loss in futures and futures options. Furthermore, Seery Futures is not responsible for the accuracy of the information contained on linked sites. Trading futures and options is Not appropriate for every investor.