Hey traders, It turned out that many newbie traders completely neglect spreads in their trading. In this post, we will discuss what is the market spread and how it can occasionally spoil a seemingly good trade. 💱No matter what financial instrument we trade, in order to buy the asset we need to have a counterpart that is willing to sell it to us and vice...
When trading forex, it's essential to check spreads, especially during holidays. Trading forex during holidays can be a bit more challenging due to reduced liquidity in the market. Liquidity refers to the ease with which assets can be bought or sold without causing a significant change in price. During holidays, liquidity can be lower as many...
Hey traders, It turned out that many newbie traders completely neglect spreads in their trading. In this post, we will discuss what is the market spread and how it can occasionally spoil a seemingly good trade. 💱No matter what financial instrument we trade, in order to buy the asset we need to have a counterpart that is willing to sell it to us and vice...
Market structure is the various puzzle pieces that can reveal valuable clues about the path of least resistance of prices. Fundamental analysis involves pouring through supply and demand data to forecast price direction. However, market structure can simplify the process as each jigsaw puzzle piece will complete an emerging picture. Market structure reflects price...
This one can be a volatile spread, and that goes both ways. The idea is to buy Live Cattle and sell Lean Hogs for a trade that runs May though to August. The reason for this trade is seasonal. That is, there is a pattern that tends to repeat itself each year. Heading into mid-year, Cattle slaughter tends to be high while Hogs are at the opposite end. But that...
Cotton & Cocoa have daily volumes of about 500 million usd or more. The rest (except maybe xpt & xpd I have no idea about) have volumes of 1 or several billions. They are unpopular with alot of funds & retail because they (retail & fund clients I guess) cannot really day trade those, too expensive, and they cannot buy & hold for growth those. They are monthly or...