futures trading strategy

Futures Trading StrategyBy

www.ProfitableTradingTips.com

http://www.profitabletradingtips.com/

There are a large number of profitable day trading strategies

and strategies for longer time frames for trading futures.

http://profitabletradingtips.com/trading-investing/futures-trading-strategy

http://profitabletradingtips.com/trading-investing/profitable-day-trading-strategies




Any futures trading strategy can take advantage of fundamental

market factors or technical analysis of price

trends. http://

profitabletradingtips.com/trading-investing/futures-trading-strategy

http://profitabletradingtips.com/trading-investing/technical-analysis




Following trends, trading within set ranges, scalping, trading the

news, and using a contrarian approach each is a viable futures trading strategy.





To a large degree the strategy that a trader adopts will depend upon market conditions and his

or her individual skill set.http://





Trends in Futures Markets





Markets go up and markets go down.





Trend following in day trading or longer time frames assumes that what is going up will continue to

go up for the immediate future and that which is doing down

will continue to go down for the immediate future.


http://profitabletradingtips.com/trading-investing/trend-following-in-day-trading




In each case traders use technical analysis in order to

assure themselves that the trend will continue for the term

of their trade.http://





This method works for both short and long term trends.





Traders commonly use tools such as moving averages,

channel breakouts, current price, and Japanese

candlesticks in order to assure themselves that the trend will

continue for a set period of time.http://





Home on the Rangehttp://





Many times a commodity, stock, or currency pair will trade within

a range.http://





Range trading in day trading and longer intervals is a

commonly futures trading strategy.


http://profitabletradingtips.com/trading-investing/range-trading-in-day-trading




Traders seek to buy at the bottom of the cycle and sell at

the top. http://





This strategy works over the long term as the economy moves between boom and

recession. http://





Range trading can also be a good futures trading strategy

with a given day.http://





When range trading the trader identifies a trading range and

uses it until the stock, commodity, or currency future

in question breaks out of the range.





Scalping Profitshttp://





When using scalping as a futures trading strategy one

looks to profit from the difference between bid and ask

prices.http://





Even in a sideways market traders can profit from

scalping in day trading or in longer time frames. In order to succeed at scalping a futures trader must pay

close attention to the market, closely follow market fundamentals, and be skillful at technical analysis.


http://profitabletradingtips.com/trading-investing/scalping-in-day-trading




Bah Humbug!http://





Futures markets like all markets sometimes get carried away.





The twin demons of fear and greed drive prices above or

below what fundamentals dictate.





Eventually the market will correct. A viable futures trading

strategy is to be a contrarian.http://





A contrarian approach to day trading

and longer time intervals assumes that the market will

eventually correct and that contrarian will be there to collect his or her profits. http://


http://profitabletradingtips.com/trading-investing/contrarian-approach-to-day-trading

http://profitabletradingtips.com/trading-investing/contrarian-approach-to-day-trading




. In using a contrarian approach it is important to understand the fundamentals of the equity on which you are trading futures

contracts and technical analysis which will allow you to see when

market sentiment is about to turn.http://





To EachHis or Her Own





In using any given futures trading strategy a trader is wise

to know and acknowledge his or her strengths and weaknesses.





If the market is appropriate for trend trading and that is your

long suit go for it.http://





If, on the other hand you are better at scalping than trend

trading, wait for a market that is appropriate for your skill set

and temperament.http://



