Commodities Education will cover mostly news, reports, fundamental analysis, and technical analysis. But first, let's find out what commodities are and what's the best approach when trading them. So, commodities are raw materials or primary agricultural products that can be bought and sold. There are many commodities tradeable on a platform, such as copper, coffee, gold, oil, and many others.
Why is Commodities Education so Important?
Commodities, like any other asset classes, are traded differently and some are considered safe havens by many professional traders. Markets always tend to be volatile and that's a good thing because without it we can make potential profits by trading. Our commodities education will teach traders how to take advantage of certain market movements. The reason for that is quite simple.
Some traders are interested in learning Forex and others are focusing on a less volatile asset class such as stocks or commodities. Every trader is different and while usually, the strategies are the same but the outcome is much more different. Think about it for a second. You still need to know the Basics of FX, Fundamental Analysis and Technical Analysis in order to trade any asset class. However, commodities trading are heavily relying on demand and supply. Lesser supply means higher demand and vice versa.
The Best Traded Asset Class
You can't categorize what is the best commodity or the easiest to trade because it depends on individuals. Commodities Education is necessary to understand how and when the asset is moving during certain events.
Take Oil for example.
Every Wednesday you can find Crude Oil Inventories publishments on the economic calendar. Therefore, a cut in supply will reduce the stockpile making it more demanded. So, prices of Oil will increase and they are traded in barrels. Similarly, gold is trading in ounces and coffee in pounds. All commodities are vulnerable to geopolitical tensions and natural disasters where trade embargos can be applied. The supply of coffee, wheat, corn, and other agricultural commodities can be heavily affected by natural disasters.
In every article published in this section will give users the ability to understand both fundamental and technical analysis for the given commodity. However, beginners will understand Commodities Education section better after they learned the Basics of FX.
It is very important to understand that you can't skip any steps if you want to become more knowledgeable in respects to trading. Also, on many ocations, some beginners learned faster than others. So it will most probably take more time for those whores are trading passively. We are using investing.com
for benchmarking our strategies.