Quote from Optionpro007:
Hi,
I will like to know why the the subject being discussed is not attributable to the futures markets in general.
Thanks.
A very valid question Optionpro007, and one that requires many answers, some of which I will try and give, but some which may, at the current time, be beyond my abilities, but that is how it is, and I accept that, as all should, for the day we stop learning, is the day we lose.
As we all know, the Commodities markets are driven by two distinct groups, those that Hedge, and those that Speculate. If we look at the Grains, then the big players in the market can be either those that are trading to lock in prices, or those that are trading for risk / reward.
Soybeans are currently at 1126 1/4 :eek:
What group do you think has caused the prices to reach this level, apart form the co-incidental increase in the price of Crude Oil.
And, more importantly, in relation to your question, what General group, as in The Generals, are participating in this risk / reward trading ?
I specifically mentioned at the outset that this discussion will be in relation to the Stock Market, but those of us that trades for profit, know that, by limiting your trading to the Stock Market, you are in effect limiting your opportunities, and a trading business, like any good business, requires many products (opportunities) in order to survive.
In summary, the subject under discussion can be attributed to the Futures Markets in general, but to get the most value from the discussions, it is better to concentrate on where the majority who lose money trade, and that is in the Stock Market.