Commodities trading

Discussion in 'Trading' started by Bigmak, Mar 27, 2006.

  1. Qyu

    Qyu

    #21     Mar 28, 2006
  2. Bigmak

    Bigmak

    Thanks for all the info. I'll be reading up for a while by the looks of it. I have no plans on rushing into it.

    One thing that would be great though is to paper trade with a sim program of some sort. Does IB have futures paper trading? Any recommendations for paper trading? I'd like to use a good simulator to get a feel for things and see if it's even something that I'd ever do. I might just be wasting my time.
     
    #22     Mar 28, 2006
  3. mizer

    mizer

  4. dmcw

    dmcw Global Futures

    From their website, it doesn't appear that the PFG simulated demo is going to give you access to trade the mini Crude. I could give you a simulated trading account also, but we have the same problem----since the mini Crude has moved to NYMEX Clearport, we haven't been able to offer it for simulated trading.

    For the record, you can trade mini Crude though a live account; just not on the simulated account.
     
    #24     Mar 29, 2006
  5. I don't know if it's different for Canada, but IB has a pretty good papertrading setup. I believe you set it up through Account Management.
     
    #25     Mar 29, 2006
  6. Bigmak

    Bigmak

    Yes, there is an option to setup a paper trading account in the account manager, but I just wasn't sure if it would work the same with the Futures...the Mini Crude to be specific.

    I guess I'll have to give interactive brokers a shout.
     
    #26     Mar 29, 2006
  7. As opposed to what?

    This is an amazingly moronic statement.
     
    #27     Mar 30, 2006
  8. Delta neutral option trading, for one. synthetic volatility arbitrage or vols replication strategies also works very well.

    Although implicit price variance relates to dynamic hedging, these strategies do not purport strict price movement as it relates to pure directional trading.
     
    #28     Mar 30, 2006
  9. OK, time decay.

    Anyone who is profitable as an option trader, long term, is a rarity.

    If you buy, time decay.

    If you are writing, eventually ya get that one time deal that crushes you.

    Futures?

    Get the direction correct, make money. Get it wrong, close the damn trade.

    I've been a full time futures trader for 19 years. Its easier than equities, and far easier than trading options.

    Yes I've done both of the above, professionally.

    Do not listen to the options guy. He prolly wishes to sell you something.
     
    #29     Mar 30, 2006
  10. Buy1Sell2

    Buy1Sell2

    selling premium is by far the easiest way to profit. This is especially true if it's hedged properly. I make an awful lot of money selling premium and hedging it--always net credit is the way to go. The last time that I took a loss of any kind on options, was the 1992 Soybean market. This guy that I know talked me into a vertical bull call spread ( net debit) in Sept Beans. Vertical Bull call spread is a terrible strategy because of the net debit. I always have net credit and naked options in my game plan.
     
    #30     Mar 30, 2006