Ep. 56 – Commodities Demystified With Andrew Masters
Tom and Owen trade with XTB - Join Here for a 15% Spread Rebate!
Tom and Owen are trading using strategies learned through Traders Support Club. For superb trader training and an exclusive Two Blokes Trading price then visit www.tscmember.co.uk/tbt !
In this episode:
The blokes report back on the initial backtesting of the live trading strategies they have chosen from Traders Support Club
Andrew Masters from Fibo Group gives a flying introduction to trading commodities using fundamentals, including Gold and Oil
We score a spectacular PR own goal by antagonising a listener of the POD!
Trader Interview - Andrew Masters of Fibo Group - How To Trade Commodities using Fundamentals
Andrew Masters hits it off with Owen right away through their shared love of trading fundamentals. Although Owen has been trading Forex through fundamentals and sentiment for some time, he has never felt confident enough to branch out into the world of commodities.
Andrew breaks it down for The Blokes and demystifies the whole thing. He answers the question - what fundamental data do I need to understand in order to trade Gold and Oil?
Trading Gold Using Fundamentals
If you have never traded Gold before, you will be pleased to hear that it is a lot like trading USD! Andrew explains that Gold and the United States Dollar are often correlated, or rather, inversely correlated.
If you already understand the fundamental data that drives USD prices - interest announcements, inflation data, quantitative easing etc., then you know enough to trade Gold! When data or announcements are released that will drive the Dollar then, according to Andrew, this is enough to inform your Gold trading.
Now, he has one caveat - this is, in his opinion, far better suited to long term position trading than short term trading.
How to Trade Oil using Fundamentals
On this whistle-stop tour of an interview, we are quickly onto another commodity, that Owen freely admits puts the Fear in him: Oil. Fortunately, Andrew is on hand to ease his doubts and show that the basic understanding needed is easy enough to come by.
What remains clear to Owen, however, is that if he wants to stay on top of the fundamentals for all of these different products it will have to be as a long term trader! There’s just not enough time in the day to stay abreast of all these markets from a fundamentals and sentiment day trading perspective.
Lex van Dam Free Webinar Series
Our broker partner, XTB, have offered Two Blokes Trading listeners the opportunity to catch 5 free webinars by legendary trader Lex van Dam (told you they were cool!)
Lex van Dam is legendary amongst retail traders as an ex Goldman Sachs trader, current hedge fund manager and star of the BBC documentary Million Dollar Traders.
If this floats your boat (and it should) then you can click this link and sign up for free.
You’ll get to watch the first 2 webinars with zero commitment, and the final 3 will be available if you sign up for an XTB account. Aww come on, as catches go, it is pretty harmless! And besides, they are an awesome broker so you should take a look at them anyway!