Revealed: Commodities Trading Tips The Pros Don’t Want You To Know
Let’s face it; there are right and wrongs of trading commodities. People new to commodity trading tend to learn the ropes through trial and error. The trouble is; any “errors” can end up costing a lot of money!
They want to learn more about commodity trading to reach their financial goals. In other words, they wish to make money, so they have a more comfortable lifestyle.
All too often I see people focusing on their financial dreams and not at the task at hand. That usually ends up with unwanted results – and a lighter wallet! If you want to try your hand at commodity trading, how should you begin? And what secret strategies do the pros use?
Today I will do something controversial. I will share with you some dynamite tips that seasoned traders use. Soon you will be able to give them a run for their money! Without further ado, here is what you need to know:
Do plenty of research
Yes, I know; research can be boring, right? But, when we’re talking about money, it’s a crucial task you need to do. If you trade without knowing what you’re doing, you’re likely to end up losing a lot of money. And that’s the last thing you want to happen!
The good news is that research is easy to carry out thanks to the Internet. Plenty of websites can help you choose commodities as an investment. While others can tell you which are the best trading platforms and providers to use.
Buy commodities without spending a penny
It might surprise you to learn that it’s possible to have a practice run at buying commodities. Many trading platforms offer demo accounts so that you can buy and sell using “virtual” money. Of course, that means you don’t own the commodities you buy.
The plus side is that it helps you get to grips with the experience. Especially if you are new to it all!
Choose the best commodities for your money
It’s no secret that there are four main commodities that people invest in each year. They are gold, silver, copper and oil.
Gold is a popular commodity that doesn’t get affected by political events. Supply of gold often comes from reserves, as it’s not mined as much these days. As a result, the value of gold is steady and rises each year. It’s worth bearing in mind that gold prices can get affected by exchange rates. In particular, the value of the US Dollar.
Silver is also a good commodity for investment purposes. It’s cheaper to buy than gold, so it’s useful if you’ve not got a lot of capital.
The value of copper has risen in recent years, leading to more people investing in the commodity. The unfortunate downside of that fact is copper theft is on the rise!
Last, but not least, there is oil. To an extent, the price of oil depends on the exchange rate of the US Dollar. Other factors can affect its value, such as political tensions in oil-producing countries. Still, there will not be a shortage of demand for oil in the future. That means it’s going to be a valuable commodity for a while yet!
