Any cotton experts?

Discussion in 'Commodity Futures' started by 151, Sep 30, 2013.

  1. 151

    151

    I have what might be significant inside info about a cat that will be let out of the bag tomorrow.

    What do I do with it?
     
  2. tiddlywinks

    tiddlywinks

    CTZ3 traded on ICE
     
  3. you could actually tell everyone here.. and the bag will still not get out of the bag.. partly because no one will believe you ..
     
  4. Brighton

    Brighton

    I don't think there's much you can do.

    - If you have non-public information from a US govt source, disseminating it or trading on it is illegal.

    - Corporate inside information doesn't exist in the commodity market like it does in the stock market

    - Even if you knew we were about to ditch cotton and return to the groovy polyester clothes of the 60s and 70s, it would take you a minimum of a couple of days to open a futures account and short cotton. In the interim (just to continue this silly example) you could buy du Pont at this morning's open.
     
  5. 151

    151

    Why do you say corp. inside info does not exist? That is what I think I have.
     
  6. gmst

    gmst

    just post it here man.....people post all kind of shit here and noone cares....at least if it turns out to be correct, you will become an ET hero :) you might get some real good feedback as well.
     
  7. 151

    151

    As much as I love good feedback, I would prefer the money...
     
  8. gmst

    gmst

    alright no probs....but will you please explain how posting the idea here will not let you make money?

    I mean if the idea/info is really good, you put on the trade in your account and then post it here....maybe 10 more people will follow helping price to move in your direction.....anything wrong with this logic - seriously asking??
     
  9. Brighton

    Brighton

    Nobody owns the entire supply chain, or put another way, the information derived from that chain, for a particular commodity. That's different than company ABC who knows more than anyone else about its suppliers, customers, technology, prospects, etc and its executive actions and utterances can have a huge influence on the stock price.

    But it's not a complete free for all in commodities. There are reporting requirements, position limits and penalties for attempting to corner or manipulate the market. You can't front run orders orders if you're in the brokerage business and so on. And in my experience, management teams of commercial firms (producer or consumer of the commodity) will prohibit an employee from trading a commodity(ies) in a personal account if that employee is analyzing or trading the commodity for the firm.

    P.S. There are a couple of cotton ETFs. I haven't read the article and I don't know anything about them (I don't trade cotton, and like the country music song, I never picked it either).
    http://seekingalpha.com/article/898961-which-cotton-etf-is-right-for-you-bal-vs-ctnn
     
  10. bone

    bone ET Sponsor

    I've traded Cotton Futures ( spreads ) electronically a few times and I was aghast.

    The liquidity gaps and volatility made Copper and Unleaded Gasoline look like Eurodollars for God's sake. What a wild child.
     
    #10     Oct 1, 2013