Commodity trading info optimized with candlestick signals
Commodity trading info is optimized with candlestick signals. The signals provide valuable information for commodity trading; probably even more valuable information than stock trading info. Keep in mind; candlesticks were developed in the most basic of commodities, Rice. Commodity trading info is much more simplistic than stock trading information. Commodity trading info usually is just limited to supply and demand, or the weather. This makes commodity trading info much easier to clarify using candlestick signals. Stock trading prices are usually influenced by many other factors other than just indicators that influence that particular stock. Market indexes in general, interest rates, crude oil prices, political environment, and many more factors can affect a stock price. Commodity trading info is very limited. That makes the utilization of candlestick signals very functional.
The 12 major candlestick signals have just as much credence for trading commodities as they do stocks. Probably even more so! The bullish signals work just as effectively as the bearish signals. Demonstrating when to get into a position is very important. However, what is more important is being able to analyze when to get out of a position. Commodity trading info, as well as stock trading info, comes to investors in different forms and different times. The analysis of that information can be interpreted dramatically different by investors. When the news starts creating euphoric buying at the top, it is hard for many investors to take profits. What if!!!! What if this is the position that is going to make the big money? "I need to be buying or I don't want to be selling with all this great news around." That is what keeps most investors from selling at the appropriate times.
A major sell signal at the appropriate time should convey one simple message. It is time to sell. Most investors invest with the emotions of fear and greed. Fear comes back into an investor's decision-making process even when they have large profits. "What if I sold at this level and prices went higher, boy would I look stupid?" Simple profit taking and stop loss techniques eliminate that fear. Click here for the Candlestick Stop-loss e-book. Utilizing the 12 major signals, half bullish signals, half bearish signals, allows investors to make sell decisions without involving the emotional factors. One of the important 12 major signals is the Bearish Engulfing signal. It clearly demonstrates when stock and commodity investors should be taking profits or going short. This is important commodity trading info. Profits can be eaten up very quickly when prices reverse. Being able to recognize a major reversal signal and knowing how to put appropriate stop loss orders in place will greatly improve the profitability of trading. Click here for the major signals CD training package
As can be seen in the ERS chart, the Bearish Engulfing signal clearly illustrated when the extended uptrend had come to an end. Using some very simple techniques would allow investors to take profits at the most appropriate places. It also provides a clear signal for the short seller to start placing trades.
The June Oats contract also demonstrates how the Bearish Engulfing signal makes it easy to find the correct levels to start shorting. The Bearish Engulfing signal, followed by a Shooting Star signal occurring in the overbought conditions illustrates where