Question regarding commodities/futures trading strategies

Discussion in 'Trading' started by njchino371, Dec 23, 2007.

  1. Hi,

    I'm an undergrad who's relatively new to trading but know some basics. Something has really been bothering me lately. It seems to me that retail/individual traders like you and me are mostly bound to trading strategies that involve fundamental and technical analysis or some cross of the two. However, from what I know, traders at hedge funds and BBs don't really trade on pure fundamentals, and technical analysis is pretty much frowned upon. So can someone explain to me or give me a general idea of the strategies that these firms would use to trade something like commodities/futures? Why is this sector considered among the most quantitative? I thought options would actually be more quant with the greeks and black-scholes. Thanks in advance for any insight.