Trending Cotton No. 2 Futures breaking out!Something BIG is happening in the cotton industries.. Thank goodness we don't use cotton in our day to day life!Longby Badcharts3
trend continuation to the downside for cotton. last week's massive drop in price resulted in a change in trend on the daily timeframe. using both trendline rejection and a breakout of the triangle pattern as confluence, I am setting a long-term take profit at the 95.50 region - weekly trendline & the next major support level Shortby Kwaku_As0
Better exit on cotton would have been at the tripple topNow my systematic exit to close a long trade if the daily bar closed below the 18 moving averageby responsibletrad8r0
COTTON WOULD LIKE TO SEE COTTON retrace into the area I highlight on the charts as we are in a shift of times and inflations haha. Not trying to pick the top, we still bullish Longby LBOOMINFX1
Cotton appears to have broken through resistanceA resistance in the price of cotton of roughly .95 cents has been in place since 2012 and was recently broken. In 2010 cotton ran all the way up to $2.00 and started breaking north this time of year. It appears that the running quantity of cotton ginned in various parts of Texas through September 15th is down significantly from the prior year. Much of the rest of country hasn't started ginning as of yet. This will be something to watch over the next couple of weeks. www.ams.usda.gov Not investment advice, just my observation.Longby jolneyUpdated 110
Why Implied Volatility Is A Critical Tool For All TradersTraders and investors use different sets of tools when approaching markets. Some are fundamentalists, pouring through balance sheets, supply and demand data, and other macro and microeconomic information to predict the future prices of assets. Others have a strictly technical approach to markets, following trends and the path of least resistance of prices. Still, others combine the two to look for opportunities where fundamental and technical analysis merge to improve the chances of success. The past is history; the present is all that matters for traders and investors Historical volatility is a map of the past price variance for asset prices Implied volatility is a real-time sentiment indicator The primary variable determining put and call option prices The three critical factors implied volatility reveals Yogi Berra, the hall of fame catcher and armchair philosopher, once said, “The future ain’t what it used to be.” All market participants have the same goal, to increase their nest eggs. Projecting the future is the route to achieve their goal. Implied volatility is a tool that all market participants need to embrace as it is a real-time indicator of market sentiment. The past is history; the present is all that matters for traders and investors History depends on interpretation. When it comes to markets, Napoleon Bonaparte may have said it best, “history is a set of lies agreed upon.” An asset’s price moved higher or lower in the past because of a collection of variables viewed through a prism that leads to a collective conclusion that has broad acceptance but may not be accurate. Taking a risk-based position on an inaccurate conclusion could lead to mistakes and losses. When we consider buying or selling any asset, all that matters is the present. The current price of any asset is always the correct price because it is the level a seller is willing to accept and a buyer is willing to pay in a transparent environment, the market. Historical volatility is a map of the past price variance for asset prices Historical volatility is an objective statistical tool that defines the price variance of the past. Any disclosure document tells us that past performance is no guaranty of future performance. We must view historical volatility precisely the same way, with more than a grain of salt. Historical volatility is a guide, but remember what Yogi said, “the future ain’t what it used to be!” We calculate historical volatility by determining the average deviation from the average price over a given period. When it comes to math, the formulas are: A simple explanation of the complicated formula comes in seven easy steps: 1. Collect the historical prices for the asset 2. Compute the expected price (mean) of the historical prices. 3. Work out the difference between the average price and each price in the series. 4. Square the differences from the previous step. 5. Determine the sum of the squared differences. 6. Divide the differences by the total number of prices (find variance). 7. Compute the square root of the variance computed in the previous step. Implied volatility is a real-time sentiment indicator While we can calculate historical volatility from historical data, implied volatility is a different story. Implied volatility is the expected or projected volatility or price variance of an asset over time. We back into calculating implied volatility using an options pricing model. We can establish an implied volatility reading by entering the option value into the Black-Scholes options pricing formula or other formulas that determine options prices. If we have a put or call options price, we can solve for the implied volatility level. The Black-Scholes formula in mathematical notation is: The primary variable determining put and call option prices There are no option prices without implied volatility as it is the critical variable that determines put and call option values. Yogi also said, “You can observe a lot by watching.” The current implied volatility level is the market’s consensus perception of what volatility or price variance will be during the life of the put or call option. Observing and watching reveals the constant changes in implied volatility levels, which can be highly volatile over time. Option traders call an option’s sensitivity to changes in implied volatility Vega, which measures the change in an option price for a one-point change in implied volatility. Implied volatility is constantly changing. Yogi had another great saying, “If the world were perfect, it wouldn’t be,” which rings true for implied volatility which can change in the blink of an eye. Option traders pay lots of attention to their Vega risk as the volatility of implied volatility can be…highly volatile! How’s that for a tongue twister? The three critical factors implied volatility reveals Implied volatility is a valuable tool for all traders and investors for three significant reasons: It is a real-time indicator of the market’s perception of the future price range of an asset. It can change suddenly, and changes often occur before the price of an asset reacts, making implied volatility a leading indicator. Implied volatility reflects the wisdom of the crowd, and crowds tend to make better decisions than individuals. Moreover, it is reading that reflects the present, not the past, and is a constantly changing measure of consensus forecasts for the future. As traders and investors, we exist in the present. We attempt to increase our wealth with long and short risk positions that either add or subtract from our nest egg in the future. Implied volatility is a critical measure we should understand, utilize, and always keep in our toolbox. Any project requires the right tools. Implied volatility’s value is that it reflects a snapshot of the current market’s consensus. Historical volatility depends on “Deja vu” happening “all over again.” Implied volatility is a measure that understands that the “future ain’t what it used to be.” ----- Register for our Monday Night Call using the link below. You can view this full article (with specific examples) and get early access to future articles for free using the other link below. Trading advice given in this communication, if any, is based on information taken from trades and statistical services and other sources that we believe are reliable. The author does not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects the author’s good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice the author provides will result in profitable trades. There is risk of loss in all futures and options trading. Any investment involves substantial risks, including, but not limited to, pricing volatility, inadequate liquidity, and the potential complete loss of principal. This article does not in any way constitute an offer or solicitation of an offer to buy or sell any investment, security, or commodity discussed herein, or any security in any jurisdiction in which such an offer would be unlawful under the securities laws of such jurisdiction.Editors' picksEducationby Andy_Hecht1818368
Short Cotton Lamp Pole Short Cotton Lamp Pole Very risky trade but let see. Shortby longshortSMSUpdated 2
Cotton & PTA Cotton Futures open in China limit up after holidays. PTA (Purified Terephthalic Acid ) futures still in corrective phase and one to watch as Cotton replacement may kick in. PTA may lag but should mean revert by sunnybe0
Good profit since my last idea from level 92$Yesterday I posted an idea about cotton(short lower 92) and it goes down 3,5% .Reason for short have 3 main things : 1.Key level 92$ from D1 timeframe. 2.Instrument closed close to our level. 3.Clean area below our level. With risk 20 cents it gave us 3 dollars profit. Personally, I did not go into this tool becouse my login model was not there. The main task is to determine the direction of movement,and we did it :)by YevheniiZakhachenko221
Cotton.Short lower level 92$Global trend long, local trend short.We have key level 92$.Price cinfirm this level few times so we know-there are some bulls and lower this level they have stop losses.When price will broke this level I expect thet bulls will close their long possision and bears will open short possision so we should get some impuls down.With entrens be attention with next things : 1.Open possision only with low volatility. 2.Stopp loss not more then 20 cents. Keep in mind that Cotton have some support level on 91$ so cover part of your possision few cent before this level :)Shortby YevheniiZakhachenko1
COTON NO2 - COTTON MARKET WILL GO UP IN THE NEXT 24 H - BUY NOWI confirm that the market will go up next 24 hours abouve 91.33 to 92.46 Buy Buy Buy ..... Whtasapp : +213698332232 Shortby Tradingarab190
Cotton LONG: COT and Seasonality bullishNow that we have two daily bars above the 18 MA and the fundamentals are bullish I took an entry on Cotton. Target 1: Prior swing high Target 2: 1.61 extension Target 3: 2.00 extension Stop at 84.50$Longby responsibletrad8r0
COTTON - 12% LOWER SINCE OUR LAST POSTOn our main Futures trade, Cotton has indeed gone in our direction by a massive 12%. We told you guys, some might consider it a 'boring' trade, more excitement in trading cryptos and indices or forex but as we stated before 'Cotton is Soft and Predictable', an asset worth your attention. Cotton stands for seasonality and this makes trading CT1 a rather predictable exercise. Take a look at the chart and tell me if you like it. Also look at my previous idea and how well it worked! Be inspired, don't look only for adventures but also for ''easier' trades. Take a look at our previous ideas and how nicely we managed to ride this price on the way up (perfectly) and on our way down (perfectly again). one love, the FXPROFESSORShortby FX_Professor335
COTTON futures Long limit entry Mid termLong limit entry 82,5 SL 77,5 PT 93,5 BE 88 RRR 2:1 ICEUS:CT1! Longby PatuldaUpdated 1
Cotton is at very attractive levelVery obvious uptrend, I have never traded Cotton before but I decided to give it a shot. There is no target so I'll trail my stop until I get stopped out, let's see what happens!by Khalid-Alhasani0
COTTON - Soft and PredictableHi guys, today I want to introduce you all to an asset worth your attention. Cotton stands for seasonality and this makes trading CT1 a rather predictable exercise. Take a look at the chart and tell me if you like it. Also look at my previous idea and how well it worked! Be inspired, don't look only for adventures but also for ''easier' trades.Shortby FX_Professor556
#COTTON TARGET DONE!!-Thank you for reading this idea! Hope it's been useful to you. -Remember this analysis is not 100% accurate.Use it with your own risk. -Comment below and let me know what you think of this analysis and what is yours? I welcome all comments, feedback, ideas and sharing of knowledgeby MorphinXX4
#Cotton -Thank you for reading this idea! Hope it's been useful to you. -Remember this analysis is not 100% accurate.Use it with your own risk. -Comment below and let me know what you think of this analysis and what is yours? I welcome all comments, feedback, ideas and sharing of knowledgeLongby MorphinXX3