You're now on the archive server. Commenting has been disabled.
Best way to get into commodities & the firms that trade them.
Submitted by loot on 06/30/2009 10:17 -0400
Question guys. I was a successful prop bond trader for close to 3 years, up until this year came around. It was about 3 months into this year that the market started to bend over backwards and feel like invisible hands were at work, stronger than any big player I have seen. So I decided to change my career and focus in on trading real products, grains & oil, and other commodities. My question is, what would be the best way to get into trading spot commodities or their futures, and some trading strategies(if you'd be willing to share.) Also, anyone know where I could get a good start trading commodities?
Background of myself. 3 year US curve trader - Basis.
I have pulled up some grains(spreads) and seen how they trade, but I am looking for more of a directional trade and not a spread trade if at all possible.
Thanks
»
- 2429 reads
- Printer-friendly version
- Send to friend
ETFs for commodity trading.
Are you looking to trade (make living from) a proprietary account, get a job as a broker, get a job as a trader, or managed money professionally?
Why do you think you would have a greater edge trading commodities then trading bonds? In other words, where do you think the source of return is from trading commodities?
Note: (1) futures is less then zero-sum game; (2) systemic issues have materially impacted commodities since CFMA 2000; (3) the only way to "truly" trade spot commodities is as a bona fide hedger (ie, commodity producer, consumer or middleman [eg, grain elevator, distiller, or arbitrageur {eg, Cushing: http://online.wsj.com/article/SB119162309507450611.html}])