Coal Futures

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http://www.candlestickforums.com/ Coal Futures Among the energy commodities that prosper with the economic recovery are coal futures. Forty-one percent of the world is electricity and generated by coal and coal heats furnaces in the iron and steel industry. Although China has its own coal reserves India and Brazil with their growing economies do not and will need to import to support their industrial growth. Coal futures are traded on the New York Mercantile Exchange (NYMEX) as well as the Australian Securities Exchange (ASX). China's Dalian exchange is planning on adding coke futures this year and planning to add coal futures at a later date. In commodities trading traders study both fundamental and technical analysis of a commodity in order to predict futures prices. With coal futures the fundamental commodity analysis has to do with the speed of economic recovery in the population centers and industrial regions of the world. The technical analysis has to do with anticipating the actions of other traders and uses time honored tools such as Candlestick chart analysis. For those interested in trading futures in coal or other commodities, Commodity and Futures Training will provide the basics as well as more advanced insight into commodities markets. An example of trading coal futures is central Appalachian coal futures. Open outcry trading takes place Monday to Friday from 9 am to 2:30 pm on the trading floor. However, online commodity trading takes place Sunday through Friday via CME Globex and CME ClearPort. Prices are quoted in dollars and cents on contracts of 1,550 tons. Minimum price fluctuations are one cent a ton. Central Appalachian coal trading terminates in the month before delivery and contracts are available for the current year and next four years. As with most commodity trading only producers and buyers who are hedging the market will stay in a contract until the settlement date. The vast majority of traders who buy or sell futures contracts will exit the trade prior to the end of trading. The four year span of available contracts provides commodities traders with a window of opportunity for anticipating price changes and profiting in the coal futures market. Futures in coal are also available on the NYMEX for Powder River Basin (Wyoming) coal and other exchanges trade other sources. Central Appalachian coal and Power River coal will not necessarily be shipped to Brazil, for example. However, the price of coal in Brazil, India, China, Europe and the USA are interlinked. As with any free market a price variation providing profit opportunity is typically exploited. Thus coal prices around the world will "correct" as demand and supply dictate price in any of a number of markets. Using technical analysis tools such as Candlestick pattern formations trading strategies such as Candlestick trading tactics it is possible to anticipate swings in the price of coal in its various forms and profit in buying and selling futures.

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<ul><li> 1. Coal Futures Bywww.CandlestickForums.com </li> <li> 2. Among the energy commodities thatprosper with the economic recovery are coal futures. www.CandlestickForums.com </li> <li> 3. Forty-one percent of the world is electricity and generated by coal andcoal heats furnaces in the iron and steel industry. www.CandlestickForums.com </li> <li> 4. Although China has its own coal reserves India and Brazil with their growing economies do not and will need to import to support their industrial growth. www.CandlestickForums.com </li> <li> 5. Coal futures are traded on the New YorkMercantile Exchange (NYMEX) as well asthe Australian Securities Exchange (ASX). www.CandlestickForums.com </li> <li> 6. Chinas Dalian exchange is planning on adding coke futures this year andplanning to add coal futures at a later date. www.CandlestickForums.com </li> <li> 7. In commodities trading traders studyboth fundamental and technical analysis of a commodity in order to predict futures prices. www.CandlestickForums.com </li> <li> 8. With coal futures the fundamentalcommodity analysis has to do with the speed of economic recovery in the population centers and industrial regions of the world. www.CandlestickForums.com </li> <li> 9. The technical analysis has to do withanticipating the actions of other traders and uses time honored tools such as Candlestick chart analysis. www.CandlestickForums.com </li> <li> 10. For those interested in trading futures in coal or other commodities, Commodity and Futures Training will provide thebasics as well as more advanced insight into commodities markets. www.CandlestickForums.com </li> <li> 11. An example of trading coal futures is central Appalachian coal futures. www.CandlestickForums.com </li> <li> 12. Open outcry trading takes place Monday to Friday from 9 am to 2:30 pm on the trading floor. www.CandlestickForums.com </li> <li> 13. However, online commodity tradingtakes place Sunday through Friday via CME Globex and CME ClearPort. www.CandlestickForums.com </li> <li> 14. Prices are quoted in dollars and cents on contracts of 1,550 tons. www.CandlestickForums.com </li> <li> 15. Minimum price fluctuations are one cent a ton. www.CandlestickForums.com </li> <li> 16. Central Appalachian coal tradingterminates in the month before delivery and contracts are available for the current year and next four years. www.CandlestickForums.com </li> <li> 17. As with most commodity trading onlyproducers and buyers who are hedgingthe market will stay in a contract until the settlement date. www.CandlestickForums.com </li> <li> 18. The vast majority of traders who buy orsell futures contracts will exit the trade prior to the end of trading. www.CandlestickForums.com </li> <li> 19. The four year span of available contracts provides commodities traders with a window of opportunity for anticipating price changes and profiting in the coal futures market. www.CandlestickForums.com </li> <li> 20. Futures in coal are also available on the NYMEX for Powder River Basin (Wyoming) coal and other exchanges trade other sources. www.CandlestickForums.com </li> <li> 21. Central Appalachian coal and PowerRiver coal will not necessarily be shipped to Brazil, for example. www.CandlestickForums.com </li> <li> 22. However, the price of coal in Brazil,India, China, Europe and the USA are interlinked. www.CandlestickForums.com </li> <li> 23. As with any free market a price variation providing profit opportunity is typically exploited. www.CandlestickForums.com </li> <li> 24. Thus coal prices around the world will"correct" as demand and supply dictate price in any of a number of markets. www.CandlestickForums.com </li> <li> 25. Using technical analysis tools such as Candlestick pattern formations trading strategies such as Candlestick tradingtactics it is possible to anticipate swings in the price of coal in its various formsand profit in buying and selling futures. www.CandlestickForums.com </li> <li> 26. In addition it is possible to trade options in futures as well. Buying calls, buying puts, selling calls, and selling puts onfutures is also a means of profiting when trading futures in coal. www.CandlestickForums.com </li> </ul>