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ritika1124

What are types of commodity trading stratergies

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There are three types of commodity trading strategies

Range Trading Strategy-
Range trading in commodities simply means attempting to make purchases near the bottom end of a range (support) and selling at the top of that range (resistance). The success of this strategy depends on the ability to buy a commodity after selling makes the price fall to an oversold condition.

Trading Breakouts-
A strategy centered on trading breakouts in the world of commodities means that a trader will look to buy a commodity as it makes new highs or look to sell a commodity as it makes new lows

Fundamental Trading Strategy-
While trading breakouts or ranges usually have specific rules as to when to buy and sell, fundamental trading depends on factors that will affect supply and demand for the commodity in question

 

Edited by rutujashah1195

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