Be independent, be your own financial planner
 
Search our Website:
Go to Bottom
 
  1. Monetizing Social Media : Find out how social media can also be a great money making tool.
 
  1. Pure Money Making tools : Here we are composing tools to help you manage, optimize and guide your internet marketing strategies!
  2. SEO Forum : Use our open forum. You can use this as an opportunity to share your links and make profits!

Commodity trade finance

Commodity trade finance markets are markets where raw or primary products are exchanged. Indian markets have recently thrown open a new avenue for retail investors and traders to participate: commodity derivatives. For those who want to diversify their portfolios beyond shares, bonds and real estate, commodities is the best option.

In common parlance, commodity trade finance means all types of products. However, the Foreign Currency Regulation Act (FCRA) defines them as 'every kind of movable property other than actionable claims, money and securities.' Commodity trading is nothing but trading in commodity spot and derivatives (futures). If you are keen on taking a buy or sell position based on the future performance of agricultural commodities or commodities like gold, silver, metals, or crude, then you could do so by trading in commodity derivatives.

Commodity derivatives are traded on the National Commodity and Derivative Exchange (NCDEX) and the Multi-Commodity Exchange (MCX). Gold, silver, agri-commodities including grains, pulses, spices, oils and oilseeds, mentha oil, metals and crude are some of the commodities that these exchanges deal in.

Trading in commodities futures is quite similar to equity futures trading. You could take a long position (where you buy a contract) or a short position (where you sell it). Simply speaking, like in equity and other markets, if you think prices are on their way up, you take a long position and when prices are headed south you opt for a short position.



How to trade commodity?

Polls
  1. Spot trading

    Spot trading is any transaction where delivery either takes place immediately, or with a minimum lag between the trade and delivery due to technical constraints. Spot trading normally involves visual inspection of the commodity or a sample of the commodity, and is carried out in markets such as wholesale markets. Commodity trade finance markets, on the other hand, require the existence of agreed standards so that trades can be made without visual inspection.
  2. Forward contracts

    A forward contract is an agreement between two parties to exchange at some fixed future date a given quantity of a commodity for a price defined today. The fixed price today is known as the forward price. Early on these forward contracts were used as a way of getting products from producer to the consumer. These typically were only for food and agricultural products.
  1. Futures contracts

    A futures contract has the same general features as a forward contract but is standardized and transacted through a futures exchange. Although more complex today, early forward contracts for example, were used for rice in seventeenth century Japan. Modern forward, or futures agreements, began in Chicago in the 1840s, with the appearance of the railroads. Chicago, being centrally located, emerged as the hub between Midwestern farmers and producers and the east coast consumer population centers.

    In essence, a futures contract is a standardized forward contract in which the buyer and the seller accept the terms in regards to product, grade, quantity and location and are only free to negotiate the price.
  2. Hedging

    Hedging, a common practice of farming cooperatives, insures against a poor harvest by purchasing futures contracts in the same commodity trade finance. If the cooperative has significantly less of its product to sell due to weather or insects, it makes up for that loss with a profit on the markets, since the overall supply of the crop is short everywhere that suffered the same conditions.
  3. Delivery and condition guarantees

    In addition, delivery day, method of settlement and delivery point must all be specified. Typically, trading must end two (or more) business days prior to the delivery day, so that the routing of the shipment can be finalized via ship or rail, and payment can be settled when the contract arrives at any delivery point.

The daytrader

Share prices charts

  1. Trading for a living
  2. Short term trading strategies
    Gaining knowledge is the first step to trading.
  3. Price action trading
  4. Range trade
  5. What is a swing trader?
  6. Follow the trend
    1. Trend following strategy
      Traders violate it surprisingly often!
  7. Initial public offering
  8. Options contract
  9. Advanced option trading strategies
  10. Futures market
  11. Exchange traded funds
  12. New fund offer
  13. Commodity trade finance
  14. Trade network
  15. How to be a successful trader?
    For those who do not know about day trading, ...
  1. How to read share price charts?
  2. Candlestick charting
  3. RSI chart


Make money with MySpace

Socializer
FREE service to make updating your social networks a snap!
Polls
Do you have a MySpace Account? Enjoy hanging out on MySpace or Facebook? You can also earn money from this! Get Free Followers provides you nice and easy way to cash in on your MySpace Account.

MySpace and Facebook are both powerful marketing tools that aren't exploited at their full potential. Even they have hundreds of millions users, only a very small part of these users know they can earn thousands of dollars using MySpace or Facebook.

There are 2 ways you can make money with MySpace in Get Free Followers :

  1. Add MySpace Connections to your account.
    You add your account for others to connect it in Get Free Followers and increase the MySpace Connections. This will boost traffic to your pages that you hve posted on your MySpace stream. You only have to host some advertisement in your pages now, which will convert that MySpace traffic to a sizeable revenue.
  2. Earn Coins sending MySpace Connections request to other users!
    Even if you don't have others to connect you and see your stream, you can still make some bucks daily by just sending other MySpace users Connection requests - with the help of Get Free Followers tool.

    Very simple! When you connect other users' accounts in Get Free Followers, you get some coins. Then you can convert these coins to REAL money from the Coins to Cash section and withdraw that whenever you want - minimum amount required for withdraw is only $1!

Above 2 sections will take you through a detailed how-to article to explain how you can make money with MySpace. Sure, it's easy to get frustrated by the overblown bells and whistles that go along with a typical MySpace visit, but there are many reasons why it's still a useful tool for musicians looking for gigs, fans, and exposure.

  1. Fans are taken right to the music

    - Pretty much everyone looking for music on the web knows this, so MySpace is one of the first stops when looking for a particular song. It's a no-frills way to hear the latest single from a band.
  2. Standardized site for clubs/press to link to

    - Regardless of how fancy and flashy your official website might be, Myspace makes it relatively easy to access all your basics. Many clubs and press outlets still prefer to post links to MySpace over the band's official site.
  3. It's an actual web presence

    - Sure, Facebook is a bit cleaner and has more buzz in the social media world, but MySpace does not require users to sign up in order to access the content. This makes for a quick and easy web presence that anyone can check out.

FREE MySpace

 

Social sharing

  1. MySpace Music Like
    MySpace has a high value because of it's massive userbase, making it potentially rich source of advertising income. Given the audience is a young demographic it's a very lucrative market for advertisers.
  2. Make money with MySpace
  3. MySpace Music Play
    Let people know about your MySpace Music. Create a widget or a song, or a video or an image and attempt to 'infect' the MySpace community with it - using Get Free Followers.
  4. Reverbnation music
    Need comments / download / subscribers for your tracks in Reverbnation?
    1. Reverbnation Plays increaser
      Get on the Reverbnation Trending Now list with the help of Get Free Followers!
    2. How to get Reverbnation Fans?
      ReverbNation has over 2.62 million users in the music industry - artists, managers, labels, venues, festivals / events - with powerful technology to promote and prosper online.
 
  1. Get your URL posted to more than 18 networks for FREE - without much hassle.
    1. BizSugar
    2. Blokube
    3. Delicious Bookmarks
    4. Design Float
    5. Design Shovel
    6. Diigo Bookmarking
    7. Blog Engage
    8. How to earn money from Facebook Likes?
    9. Get FREE Facebook Shares
    10. How to make money on Google Plus?
    11. How to make money on LinkedIn?
    12. NewsMeBack
    13. Get paid to Pin on Pinterest
    14. Post on Reddit
    15. How to get traffic from Twitter?
    16. Stumbleupon marketing
    17. VK marketing
    18. XING
trade online
Content updates

Email Notification

Share on APSense

Seed Newsvine

 
 
You are here :
Home » Share Trading » The daytrader » Commodity trade finance
Bookmark this topic :
Bookmark and Share
 
 
Subscribe to our Content Pure Money Making updates Subscribe to our Community Financial information sites Internet business services Websites of the future

Join Traiborg

 
 
 
 
 
Go to top
 
Home  |  About Us  |  Contact Us  |  Links  |  Submit Your Site  |  Exchange Link  |  Sitemap  |  XML Sitemap  |  Toolbar Copyright © 2009-2014 Pure Money Making.net.
All Rights Reserved.