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I am a beginner commodities day trader. I'm primarily looking at copper, corn and oil (just because they are micros). Might look at M6E too. I'm curious if other traders use market internals such as NYSE Tick index, Advance/Decline line, Trin when trading these instruments? If not, what else do you lean on when trading in the day timeframe?
And in the last hour or two I came up with a pretty solid one. DXY US Dollar Index.
Right. I'd like to look at gold and silver too. I'm kind of focusing on copper at the moment and am wary of spreading myself too thin as I'm still a rookie. In a perfect world I would be able to do market prep on 5-6 markets and be cognizant when any of them reach key levels.
I edited my comment to explain which market internals I am referring to.
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Okay that's what I think of when I hear 'market internals'. Unfortunately there is nothing comparable for non-equity index futures.
For markets were term structure isn't dictated by cost of carry, for example Crude, the relationship of the prompt several months/contracts could show something. Going a step further if you have access to physical prices, where they are trading in relationship to the futures could also yield additional information.
Fundamentals are very important. Supply, Demand & Storage. Weather is also very important but you could argue that's really just a major driver of Demand. Weather changes a lot quicker than Supply Demand analysis does though.
Tuglife.... there is not enough volume in copper or corn to be a day trader....mnq has 30000 and mes has 30000 while copper has 813 and corn has 400....numbers are from Sunday night....not sure but back in the days Copper and Corn had daily limits...once you reach the daily limit you cant trade anymore...so if you wanted to get out of a position...you had to wait untill there was some movement....have seen daily limits happen for days.....if you are stuck in a position.....ouch.....watch our....