[brownsfan019]

One thing that really helped my equity curve become more smooth was using markets where the best opportunities exist. I'll dive into this some other time, but I wanted to bring to focus trading the grains (Soybeans, Corn, Wheat) contracts as weapons in your arsenal when you go to battle each day.

Some characteristics of these markets that I've noticed:

• Open @ 10:30am EST (very convenient to roll to these marekts once other markets have been open for a bit)
• These contracts move and move quick on the open usually
• Good liquidity for daytrading
• Provide a non-correlated market to the indexes or currencies to trade

3 Main markets to choose from in this arena for daytrading purposes:

• Soybeans
• Wheat
• Corn

Personally, I like the movements on the ZS the best.

IMPORTANT TO WATCH ON GRAINS: WHEN ROLLOVER IS NEAR
In my haste to get this up I missed an important consideration when trading grains - watching when rollover occurs. When rollover is near, the volume can split over the current and future contract which can cause each contract to slow down b/c volume is split. Just be aware of when rollover is near and watch the overall volume on each contract.

Take a peak if you are looking for a non-correlated index market to trade. As always, watch these and practice on sim before placing any real money trades.

Just remember that I can't stress enough that these guys will move on the open and move swiftly waiting for no man. I would suggest using a non-time based chart (volume, tick or range) to smooth out the fluctuations a bit.

[Mustang-]

Originally Posted by brownsfan019 »

[*]Provide a non-correlated market to trade[/LIST].

I agree they are great markets.

What do you mean by non correlated?
The three markets are correlated to each other, please explain.

[brownsfan019]

Originally Posted by Mustang- »

I agree they are great markets.

What do you mean by non correlated?
The three markets are correlated to each other, please explain.

Provide a non-correlated market to the indexes or currencies to trade

Post edited, thanks for the question. I should have clarified better.

[Dinerotrader]

I am not too familiar with these futures. What is the going rate right now for one contract and what is their tick in $?.

[sep34]

These are relatively cheap contracts, in comparision to Stock index futures-min tick is $12.50. If the concern is daytrading margins it really depends on your broker if they will provide daytrading margin or not.

Corn is the cheapest contract. price 340's
Wheat 2nd cheapest contract. price in 450's
Soybean most expensive of the three contracts.. price in the 920's

You can get more inforamtion on them at the CME.com, I think they are listed under Agricultural commodities, its been a while since I have visited CME/cbot so im not sure--

[brownsfan019]

Originally Posted by Dinerotrader »

I am not too familiar with these futures. What is the going rate right now for one contract and what is their tick in $?.

My original post has direct links to the CME. I went ahead and did the work for you.

[Dinerotrader]

Oops. Sorry about that.

[Dinerotrader]

Brownsfan,
I was looking at the Corn futures on a 30 tick chart. Is that what you would recommend. I included the early morning move on 9-30 below.

Do you have any other ideas for trading these commodities profitably in the early part of the session?

What time frame do you usually restrict your trading on these like you do with the ES?