Trading Aluminum Futures

Discussion in 'Metal Futures' started by cashmoney69, Dec 9, 2007.

  1. Aluminum being the most abundant metal on earth. How does

    this contract trade, compared to others in terms of liquidly..ect.. ?

    ---

    I'm curious because I have connections (I think) to where I

    can get 44,000 pounds of Aluminum (recycled cans) at a low cost,

    then sell them on the futures market. I dont know much about

    this market..so maybe im fooling myself. This would be more of a

    side project.
     
  2. Are you a beach comber?
     
  3. ha no. If I was I'd sell sand futures.
     
  4. Buying the cans on the cheap (they are pretty cheap anyway) then so you are long the physical why would you go into the futures market and not go to your local scrap dealer to off load them.

    Why go to the trouble of margin calls etc involved in futures market on what I assume would be a pretty thin profit edge am I missing something (i dont trade metals) but I dont see an edge.
     
  5. .. your right. Maybe if I can process the Aluminum then re-sell it. However I'm not sure how to do this or the start up cost required.

    one word: Lakshmi Mittal . Started with nothing now has a net worth of 51+ billion from the steel business.
     
  6. svrart

    svrart

    I am afraid Lakshmi Mittal is two words :) :)

    svrart
     
  7. So you want to get into the smelting business obviously you dont know the setup and ongoing cost (massive user of electricity) you are mad sorry but you are.

    Trading is a much cheaper game to play
     
  8. Well sh-t.
     
  9. What a silly thing to say oh i have another one Why not get into software development one word 'Bill gates"
     
  10. I'm just saying, that the largest companies and their founders had to start somewhere...sometimes from nothing. So there's hope for the little guy.
     
    #10     Dec 10, 2007