1. DIYTechnicalAnalysis is a private community of traders and investors interested in building wealth from Indian equity market. You can become a member with a one time registration fee of ₹199. Click here to become a member

Best Strategies for Commodity Trading

Discussion in 'Technical Analysis' started by pradeepgautam1963, Mar 13, 2013.

  1. pradeepgautam1963

    pradeepgautam1963 New Member

    Joined:
    Mar 13, 2013
    Messages:
    7
    Likes Received:
    0
    I trade in commodities (base metals) and will like to know best suited strategies for intraday trading that to after 6.30 pm
     
    pradeepgautam1963, Mar 13, 2013
    Share #1
  2. shabbir

    shabbir Administrator Staff Member

    Joined:
    Apr 30, 2012
    Messages:
    6,671
    Likes Received:
    1,938
    Commodities trading means trading with margins and so you should first read this.

    Once you are aware of the issues that comes with margin trading, I will say the best strategy is to never have an open position overnight.
     
    shabbir, Mar 13, 2013
    Share #2
  3. pradeepgautam1963

    pradeepgautam1963 New Member

    Joined:
    Mar 13, 2013
    Messages:
    7
    Likes Received:
    0
    Book recvd

    Thks boss got the copy of the book.
    I trade btwn 7.00 to 10.30 pm and do not leave open position as you said. But wanted to know how to improve upon
     
    pradeepgautam1963, Mar 13, 2013
    Share #3
  4. shabbir

    shabbir Administrator Staff Member

    Joined:
    Apr 30, 2012
    Messages:
    6,671
    Likes Received:
    1,938
    Glad you followed the first part. Now to improve upon I will recommend the following.

    • Don't trade in everything. Trade in only your list of commodities. Less is always better.
    • Trade only on one side. That is focus on either being long or being short but not both.
    • Trade with few patterns that you are confident about. I prefer W, Breakout, head and shoulder and Higher Top higher bottom. All these are explained in my ebook.
    • Only trade with patterns and don't try to assume any patterns. Let the pattern be formed with an exception of anticipated pattern which is also explained in the ebook.
    • Avoid running after trades and let the trade setup be perfect. It is good not to loose money because 90% of people are loosing money and you are being better than those.
    I hope it helps
     
    shabbir, Mar 13, 2013
    Share #4
  5. pradeepgautam1963

    pradeepgautam1963 New Member

    Joined:
    Mar 13, 2013
    Messages:
    7
    Likes Received:
    0
    DIY

    I hv randomly gone thru all the pages 2morow onwards i will be seriously reading so give me sometime to ponder over then come back
     
    pradeepgautam1963, Mar 13, 2013
    Share #5
  6. shabbir

    shabbir Administrator Staff Member

    Joined:
    Apr 30, 2012
    Messages:
    6,671
    Likes Received:
    1,938
    Perfectly fine. Take your time and no need to hurry into it.
     
    shabbir, Mar 13, 2013
    Share #6
  7. pradeepgautam1963

    pradeepgautam1963 New Member

    Joined:
    Mar 13, 2013
    Messages:
    7
    Likes Received:
    0
    Doji for trend reversal is best on heikin ashi than on candle chart please let me know am i right throw light on the same
     
    pradeepgautam1963, Mar 13, 2013
    Share #7
  8. shabbir

    shabbir Administrator Staff Member

    Joined:
    Apr 30, 2012
    Messages:
    6,671
    Likes Received:
    1,938
    Yes and I call it pinbars. Read this
     
    shabbir, Mar 13, 2013
    Share #8
  9. pradeepgautam1963

    pradeepgautam1963 New Member

    Joined:
    Mar 13, 2013
    Messages:
    7
    Likes Received:
    0
    Goooood evening

    what r the precautions to be taken if i want to trade only using heikin ashi chart i find easy to know the trend and the doji for trend reversal and for trading what else you want. Please guide me in this regard.
     
    pradeepgautam1963, Mar 14, 2013
    Share #9
  10. shabbir

    shabbir Administrator Staff Member

    Joined:
    Apr 30, 2012
    Messages:
    6,671
    Likes Received:
    1,938
    I don't trade with Heikin Ashi method and so it would be tough for me to guide you in that area.
     
    shabbir, Mar 14, 2013
    Share #10
  11. pradeepgautam1963

    pradeepgautam1963 New Member

    Joined:
    Mar 13, 2013
    Messages:
    7
    Likes Received:
    0
    I like heikin ashi becos it enables you to know the trend and doji for trend reversal and for trading what else do you want. Please guide me.
     
    pradeepgautam1963, Mar 14, 2013
    Share #11
  12. pradeepgautam1963

    pradeepgautam1963 New Member

    Joined:
    Mar 13, 2013
    Messages:
    7
    Likes Received:
    0
    How to make the best use of adx in deciding the entry and exit and what are the parameters and period and timeframe one must set to get the best results out of it
     
    pradeepgautam1963, Mar 14, 2013
    Share #12
  13. shabbir

    shabbir Administrator Staff Member

    Joined:
    Apr 30, 2012
    Messages:
    6,671
    Likes Received:
    1,938
    I don't use them. I prefer trading based on support and resistance and so I will not be able to guide you in heikin ashi.

    Again it is not what I use and prefer.
     
    shabbir, Mar 14, 2013
    Share #13