Scalping is a trading strategy designed to harvest small gains repeatedly to secure long-run profitability. Markets that feature consistent liquidity and volatility are ideal for implementing scalping strategies. As a result, scalpers commonly target such futures products as WTI crude oil, the E-mini S&P 500, and gold. Although benefits like limited risk and regular cash… Read more.
For active futures traders and investors, the trailing stop loss is a valuable tool for optimizing profitability. Featuring dynamic functionality, these types of orders complement a wide variety of trading strategies. Let’s take a deep dive into trailing stops and explore how they can help you maximize your potential in the marketplace. Trailing Stops: Functionality… Read more.
Systematic risk is a term used to describe the probability of a broad-based market meltdown occurring. Although comprehensive market crashes are rare, traders and investors remain vigilant in limiting exposure to such events. This goal can be accomplished in a variety of ways, with the execution of futures and options hedging strategies being near the… Read more.
In futures trading, there are two types of volatility: historic and implied. Although both address the behavior of price action, they are very different concepts. Read on to learn more about implied volatility and how it is interpreted in the live market. Understanding Implied Volatility According to Investopedia, implied volatility (IV) is “a metric that… Read more.
Candlestick patterns are among the most frequently used technical tools by active futures traders. No matter the strategy―whether it is trend, rotational, or reversal―chart patterns can be valuable for position management or market timing devices. Let’s take a look at the top three tips for trading Japanese candlestick chart patterns. Tip No. 1: Be Aware… Read more.
Options on futures, or “futures options,” offer market participants an unparalleled collection of opportunities. However, their name often confuses and discourages many active traders from entering the market. In this blog article, we’ll take a look at the basics of options on futures and three key advantages of making them part of your trading plan.… Read more.
Enjoying success in futures, options, forex, and equity trading requires a collection of unique attributes. And, although “buying low and selling high” (or vice versa) might sound easy, doing so over the long run is a major accomplishment. In fact, many traders spend huge sums of money and years pursuing this goal before finally quitting… Read more.
One of the greatest misconceptions about active trading is that you must “trade big” to make money. This is simply not the case. The lineup of products available on the Small Exchange can help you pursue nearly any financial goal. No matter whether your specialty is stocks, commodities, bonds, or currencies, the Smalls offer countless… Read more.
The Small Exchange is an exciting new marketplace that offers traders a collection of innovative derivatives products. No matter whether you trade stocks, energies, metals, bonds, or currencies, there is a Small market ideal for your needs. One contract in particular, the Small US Dollar (SFX), provides forex traders many speculative and risk management opportunities.… Read more.
Market traders commonly use chart patterns to identify positive-expectation trading opportunities. When used in conjunction with other indicators, such as support and resistance levels, chart patterns can be powerful tools for generating profits. No matter whether you favor an open-high-low-close (OHLC) or candlestick format, understanding how to use chart patterns for day trading is valuable.… Read more.