For many traders worldwide, commodities have been the major assets allowing them to generate substantial profits. The secret behind such popularity is that commodities are rather volatile assets if to compare them to stocks or currencies. Increased volatility means higher risk and higher potential profits. Which means that you need to have a solid base to trade commodities profitably. This includes competitive trading conditions. At the same time, commodity traders have to obtain comprehensive and timely information about the traded assets, including market drivers, various factors influencing the pricing, news, tech analysis signals.
Al of this is necessary when you trade commodities the old school way as well as futures and CFDs on commodities. An finally, it is important to go with a reputable broker given you accosts the commodity market. To some extent, your income depends on the spread and various fees and commissions charged by the workers and providers. You have to consider everything from analytics to execution of orders.
When it comes to trading CFDs on commodities, there is no better option than ActivTrades. This is probably the only broker allowing you to trade gold, silver, natural gas, crude oil, wheat, coffee and many other commodities on unprecedented conditions.
For instance, the spread on natural gas and wheat is just 0.005 point and 1 point respectively. All of these CFDs are available along with up to 1: 400 leverage. There are no hidden fees for overnight etc. You can trade mini- and micro-lots. Thanks to market execution along with many innovative solutions and the unprecedented insurance plan (up to 500 000 pounds), each ActivTrades client has all the necessary things for comfortable and stable trading, whether it is commodities or other financial assets.
Commodities as Moneymaking Opportunities
Commodities do open a lot of moneymaking opportunities. The thing is that commodities are vital resources for humans. These are foodstuffs, energy carriers, precious metals and other vital stuff.
Billions of dollars are invested in commodities around the globe on a daily basis, which is why they are liquid and volatile assets. This has to do with actual supply and demand apart from the speculative aspect. More sophisticated investors create longer-term portfolios form various kinds of commodities to diversify risks.
On top of that, since the downtrend of 2013, commodities have been going up in value. At some point in 2014, they outperformed stocks and other profitable assets. This is why commodities are worth trading. By the way ActivTrades offers you the industry’s widest range of commodities as underlying assets for CFDs. This is a major benefit since a lot of traders worldwide would like to trade commodities but do not have enough funds or opportunities to access commodity exchanges directly.
CFD trading is less risky and more comfortable while you can still enjoy pretty decent profits.
All financial products traded on margin carry a high degree of risk to your capital. They are not suited to all investors, please ensure that you fully understand the risks involved, and seek independent advice if necessary.
ActivTrades PLC is authorised and regulated by the Financial Conduct Authority (FRN 434413) and is a member of the Financial Services Compensation Scheme.