Commodity Trading @ NC Wealth Solutions Pvt. Ltd.

Commodity trading

Commodities market has emerged as a new avenue for investors to create wealth.

To trade in commodities, you need to open a commodity trading account with a broker.
This type of trading is essentially in futures and options of products like agriculture (wheat, cotton, etc.), minerals (petroleum), and precious metals (gold, silver, etc.).

Commodity futures and options

Before you open a commodity account, you need to know a little bit about derivatives. There are two main types of products – futures and options. Futures contracts give you the right to purchase or sell a certain amount of a particular commodity at a predetermined date in the future. Options give you the right, but not the obligation, to buy or sell a specific commodity at a predetermined price in the future.

Futures and options are traded on commodity exchanges like Multi-Commodity Exchange (MCX) and National Commodity and Derivatives Exchange (NCDEX).

Why NC WEALTH SOLUTIONS PVT. LTD.

Here’s why you might want to open commodity trading account with NC WEALTH SOLUTION PVT. LTD.

NC WEALTH SOLUTIONS

Why Should You trade in Commodities?

Prices of commodities are less affected due to factors that influence the stock markets. Therefore, they are known to provide investors with excellent portfolio diversification. Besides predictability and diversification, the investor can also benefit from market offered liquidity and leverage. Following are the benefits offered by commodities’ trading:

Frequently Ask Qustion

Which commodities are best for trading in India?

Here are a few items that are frequently traded in the Indian commodity market

Gold

Crude Oil

Copper Cathode

Silver

Zinc

Nickel

Natural Gas

What are the commodity trading hours in India?

The commodity trading market operates from 9:00 AM to 11:30 PM to capture the full extent of global market movements in all traded categories.

Is commodity trading in India profitable?

Many people will tell you that it isn’t because it’s very different in nature. In the commodity market items are traded through futures contracts, which are sold differently. For a new trader, it can be challenging to make money initially through futures contracts.

How do I start trading in commodities?

There is more than one way to trade in commodities.

Direct investment in commodity trading

Investing through futures contracts

Buying shares (from the exchange) of companies that produce these commodities.

Is commodity trading suitable for a retail investor?

Yes. It is a good option for retail traders. It’s less complicated than tracking share performance and planning the right entry point. The commodity market is driven by strong trends, determined by demand and supply differences in the global market.

What are the various factors to be kept in mind before trading in commodities?

Here are a few points to keep in mind while trading in the commodities market.

Commodity prices are influenced by shifts in global demand and supply

Economic trends are critical to determining market trends, a strong economy will push commodity prices upward, and a weak economy will do the opposite

The sectoral performance will also influence commodity prices like industrial performance will determine the demand for metal commodities

Commodities are volatile and therefore, risky

You can select to invest in a group of commodities

It may take you some time to master the art of trading in commodity markets

Who are the participants of the commodity market?

It involves both individual and institutional players. You’ll find the following participants in the commodity market.

Market speculators

Directional Margin Traders

Spot/Futures Traders

Price Hedgers

Reqeust a Call Back

Financo amet sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua enim ad minim veniam

How to invest in the Commodities Market?

You can enter the Commodities market through different ways. You can take own decision, termed as self-directed, identify an automated system where trades are carried out on your behalf, work with licensed brokers or hire a money manager to manage your account personally. But trading with us is much simpler. Just open an account with us and start trading in any of the below 3 ways:

Online – On your desktop through different trading platforms

Call-n-Trade (for online trading clients)

Contact or visit your nearest branch office to place your orders.