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Trading Commodity Futures Using Support and Resistance – Paper Trading

Setting Up a Paper Trading Account

Question:

I can’t exchange with “genuine cash” up ’til now; be that as it may, how would I approach setting up a paper exchange account?

Reply:

You can paper exchange different ways and it truly does not necessitate that you have much else specific than a note pad to follow your exchanges and access to graphs.

Start by subsidizing your paper exchanging account with the measure of cash you figure you will truly start with, regardless of whether it is $2000 or $20,000. I would propose that you start with no under $5000 and $10,000 is shockingly better.

Next you have to settle on which markets you will exchange. The more cash you have in your record, the more markets will be accessible to you. On the off chance that you are exchanging with a $5000 account there is no reason for getting comfortable with a market like Crude Oil that has an edge of $3000 per contract!

Accepting that you are a littler broker, you will be most intrigued by the lower edge markets like the grains, a portion of the meats, perhaps a metal and a money or two. I would recommend you limit your degree to around 6 – 8 markets, as these will be sufficient to follow once a day.

Indeed, even genuine cash brokers infrequently pursue more than 8 markets…it just turns out to be excessively bulky, as I’m certain you will discover when you have more than one paper exchange going at once.