The commodities market works in a similar way to the stock market. Where equities are traded on the stock market, it is commodities like copper, soy beans, corn, gold and crude etc traded on the commodities market. Both small and large speculators are known for their ability to shake up the commodities market.
In order to trade commodities through AIP, you will meet a commodities advisor to discuss contract specifications for each commodity. You will also discuss trading strategies. Trading in commodities uses the same mechanics as any other investment opportunity. Investors want to buy low and sell high. The major difference with trading in commodities is that they are highly leveraged. Commodities trade in contract sizes instead of shares.
Trading in commodities uses the same mechanics as any other investment opportunity.
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