Welcome to the exciting world of Futures trading; a class of markets that has become one of the most exciting and lucrative arenas for non-professional traders to get involved in. Futures markets have expanded from the better-known commodities such as Corn, Cattle, Sugar, etc, to products ranging from Currencies, Equity Indexes, Energies, and Debt Instruments. During that expansion options on futures have also become available. This plus the added environment of online trading and the hundreds of web sites devoted to futures trading (including this one) have attracted thousands of new participants in the trading of Futures. [Read more…]
This article originally appeared in FutureSource FastBreak October 20, 2006
Many traders spend a great deal of time trying to find trading’s “Holy Grail.” In this search, they move from one system to another, trying to find that one magic formula. Does the Holy Grail exist? There are a lot of frustrated traders that would tell you no. I, on the other hand, believe that it does exist. But I also believe that most traders seeking it are searching for it in the wrong place.
Too many traders, especially those lacking experience, focus on finding that one magic formula that will give them precise entry signals. What they fail to understand is that the trade entry is not as important as the exit. Here is an example that I have used in various seminars. We have two traders, one is short the market, and the other is long. They both offset the same day, same time, and same fill price. They both recorded a profit on their trade.