Federal Reserve announced additional bond buying programme and USD tumbled while Gold / silver, other commodities , equities zoomed out.
Purpose of the post is only to share the instantaneous effects of events on commodity prices and why any commodity trader should keep himself alert about major happenings around the globe.
MCX futures trading is margin based trading and trader caught in wrong foot can lost more money than available in the account.
Silver after QE3 announcement – 2min chart.
Gold after QE3 announcement – 2 min chart.
Both graphs shows how sensitive commodity prices are towards any news and why any commodity trader should keep information about key events happening around the globe.
I appreciate your Knowledge on different topic and you are covering most of the points on related topics in your Blog but I couldn’t understand one thing, on Right side you have mentioned You are a chemical Engineer and you are writing blogs which are more or less related to finance and also you are not from any commerce and finance background, so how can you analyze the financial impact of any investment product?? Just tell me.
Hi Kaushal,
First I would like to thank you for regularly visiting this blog and Happy New Year to You.
As far as your Question about my education and topic of this blog is concerned, I share only my real life experiences here… I started selling mutual funds on part time basis in 2005 and as well started Exploring other markets as well..
There is one nice quote which applies me- though I am Chemical Engineer I run personal Finance blog:
“Good judgement Comes From Experience & Experience Comes From Bad Judgement” – Source – goodreads.com
i saw your article on fedral reserve announcement.how i can get this type of knowledge before it happens?please reaply i am new in commodity market
One can get information about key events happening through media or different web resources.
But it requires deep study to guess the possible effects of the events.
There are not specific If …else possibilities.