Trader Education Articles

Powered by years of Peak Trading Research experience, our Trader Education articles and videos are designed to help you better understand the macro and micro price drivers that directly impact commodity market futures.

Is there a topic that you want us to cover? Send us a note: Insight@PeakTradingResearch.com.

 
 

COT Explained: COT 101 (Part 1 of 3)

Whether you are new to trading or an expert commodities trader, you can learn about what the weekly Commitment of Traders (COT) is and why it matters for your profitable commodity trading.

COT Explained: Hedge Funds Matter (Part 2 of 3)

Hedge funds are the price drivers across most commodity markets. You’ll learn why that is and how hedge funds interact with other commodity market participants: index funds, commercial traders, and smaller private traders.

COT Explained: Trading COT Data (Part 3 of 3)

COT positioning reports can give you an edge and make you a more profitable trader. You’ll see specific examples of profitable trading systems in Oats, Live Cattle, and Kansas Wheat, all of which incorporate COT data.

 

If you're a professional commodity trader, you are very aware that macroeconomic inputs and macro money flows have a huge impact on the commodity markets that you trade.

One of the most important macro inputs is the U.S. dollar.

Why is that?

Commodity markets are great breakout markets. You can make a lot of money as a commodity trader by buying higher highs and selling lower lows. We’ll review the simplest breakout trading approach that works in many of the world's biggest commodity markets, like Crude Oil, Heating Oil, Gasoline, Gold, and Soybeans.

What about mean reverting markets? i.e., commodity markets where it makes sense to sell higher highs and buy lower lows. Now, there aren't many mean reverting markets in the commodity world, but today we're going to run 60,500 tests and find out which commodity markets are mean-reverting.

 

What's the difference between a non-commercial trader and a managed money trader? You’ll learn the differences between these important COT categories and which category we prefer for analysis and systematic trading.

Commodity markets follow strong and consistent seasonal price trends. Today, we'll talk about why these consistently strong seasonal trends exist, the different ways that you can analyze these trends, and the most consistently profitable approach for trading these trends.

 
 

The annual commodity index rebalancing is a big deal for all commodity futures markets. This is the window of the year when the world's two largest commodity indices announce their new weightings and then rebalance to reflect those new weightings

 
 

Hedge funds and Commodity Trading Advisors (CTAs) make money in commodity market futures by trading momentum and volatility. They buy markets that they hope will keep going up and sell short markets that they hope will keep falling.