Well if you ever wanted to go against a seasonal trend, here is your chance. The chart shows the spread between CME Live Cattle and Feeder Cattle futures. Given the different tick value, Continue Reading

Question: What is seasonal data? Answer: Seasonality refers to a pattern that depends on, or is controlled by, the time of the year. Seasonality appears in many places. For example, sales of Christmas cards logically peak before Christmas. Accounting business peaks Continue Reading

One offshoot from the extreme volatility that came with the GFC is that many private traders are now looking beyond the simple strategies such as buying shares. While all traders are still looking for healthy returns there is also a Continue Reading

Years ago I knew a floor trader who spoke of what he called the “third time lucky rule”. It means if a market tests a certain resistance point three times, a break above that point is often a good indicator Continue Reading

Question: What are the charts saying to you regarding Euro/Sterling? Do you think Sterling is likely to slip further against the Euro or the reverse? Answer: Currencies are not my main thing, but I’ll jot down a couple of thoughts. 1. Economics It is thought the Euro-zone recovery will be sooner/stronger than the UK recovery. Continue Reading

Seasonal analysis has long been the domain of professional traders, but over the last decade or so has slowly been picked up by the private investor. This article, aimed at those new to seasonal trading, looks at:

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Q: Do you follow only seasonal data or are there other factors involved in your spread trading? A: My entry or exit rules are not based entirely on seasonal data. Seasonal data is used as a guide much like any kind of indicator, but it is not ‘the complete system’. I don’t believe in Continue Reading

NEW: Guide to Futures and Spread Trading. 3rd Edition

This comprehensive ebook is designed to help you understand and master the fundamentals of futures spread trading. It includes over 40 pages and is organized in a straightforward, easy to follow format. The ebook covers:

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Question: How reliable is seasonal data? Is making money from it all that simple?

Answer: To answer the second question first – no it’s not always simple. Anyone that tells you they have a trading method that is fool proof is either a fool or a liar. This is why you need to get Continue Reading