how much return you expect from commodity market

[cotton]

Hello, i only read the first page of this massive thread. I want to trade in commodities in evening, so i will start with GOLD GUNIA which requires the minimum margin of Rs. 1000 as mentioned by ashwani chadha. My question is, what is the brokerage you guys are paying for 1 lot of Gold gunia and gold mini?

Different guys are paying different..I pay 50 Rs per lot for any mini lot...
Ashwani pays something else..which broker you using...for sharekhan brokerage is different depending on ur volume..

 

[chetanbang]

Different guys are paying different..I pay 50 Rs per lot for any mini lot...
Ashwani pays something else..which broker you using...for sharekhan brokerage is different depending on ur volume..

I will be using Angel broking, i want to call them but today is off. i am paying them 0.01% intraday for equities and futures. so what will be the cost of 1 lot of gold gunia. ex:for 1 lot mini nifty we pay 20*4800=96000, so how much for gold gunia and gold mini. you are paying per lot but some traders here mentioned about percentage brokarage for commodities. which is better for gold gunia and mini. suppose if i get 0.01% intraday how much brokerage will i be paying for gunia and mini?

 

[Klewtar]

Gold guinea has slightly less brokerage than Gold Mini. At 0.03% brokerage, it costs me Rs ~6 each way for one lot of Gold Guinea and Rs ~80 for one lot of Gold Mini each way when the same cost in Gold Guinea is Rs ~60. 10 lots of Gold Guinea brings the same benefits as 1 lot of Gold Mini (1 rs rise in price of gold = 10 Rs profit when going long.)

One reason that I may trade in Gold Mini instead of Gold guinea (despite gold mini's overall higher security deposit and brokerage) is that the risk of slippage increases when more than 4-5 lots of guinea are traded in one market order.

Traders with less than 1 Lakh capital may prefer trading Gold Guinea over Gold Mini. With Rs 10,000 capital, adding one gold guinea lot (or gold mini lot if starting capital is 1 Lakh) for every 100 Rs rise in the price of gold can lead to a very healthy accumulation of guinea lots.

 

[ashwani chadha]

Gold guinea has slightly less brokerage than Gold Mini. At 0.03% brokerage, it costs me Rs ~6 each way for one lot of Gold Guinea and Rs ~80 for one lot of Gold Mini each way when the same cost in Gold Guinea is Rs ~60. 10 lots of Gold Guinea brings the same benefits as 1 lot of Gold Mini (1 rs rise in price of gold = 10 Rs profit when going long.)

One reason that I may trade in Gold Mini instead of Gold guinea (despite gold mini's overall higher security deposit and brokerage) is that the risk of slippage increases when more than 4-5 lots of guinea are traded in one market order.

Traders with less than 1 Lakh capital may prefer trading Gold Guinea over Gold Mini. With Rs 10,000 capital, adding one gold guinea lot (or gold mini lot if starting capital is 1 Lakh)(((( for every 100 Rs rise in the price of gold can lead to a very healthy accumulation of guinea lots.

))))

in gold gunia above strategy which klewtar has recommended,is one off the best risk free strategy
i am also using this strategy
i have given brakets to startegy

 

[chetanbang]

))))

in gold gunia above strategy which klewtar has recommended,is one off the best risk free strategy
i am also using this strategy
i have given brakets to startegy

brakets in the sense you can put profit target and stop loss for a trade and leave it? which broker provides this feature?

 

[ashwani chadha]

brakets in the sense you can put profit target and stop loss for a trade and leave it? which broker provides this feature?

our stop loss will be same for all purchases of gold gunia,as per our stop loss system but at every 100 point rise we will add one lot of gold gunia but this strategy will work in a trending market

 

[Klewtar]

For adding new lots of gold guinea, I now open the trading terminal no earlier than 20:30 IST. That is the time that gold stops dipping in price during the trading day.

I still have to keep a look out for dips at 12:30 that may signal a (temporary) bearish market. The last few days of bearishness had major price drops at either 14:30 or 18:30. On a bullish day, there ought to be increasing prices at (or slightly later than) 12:30 and 16:30.

Edit:
12:00 in the afternoon is also ok to add new positions.

 

[pav]

Gold guinea has slightly less brokerage than Gold Mini. At 0.03% brokerage, it costs me Rs ~6 each way for one lot of Gold Guinea and Rs ~80 for one lot of Gold Mini each way when the same cost in Gold Guinea is Rs ~60. 10 lots of Gold Guinea brings the same benefits as 1 lot of Gold Mini (1 rs rise in price of gold = 10 Rs profit when going long.)

One reason that I may trade in Gold Mini instead of Gold guinea (despite gold mini's overall higher security deposit and brokerage) is that the risk of slippage increases when more than 4-5 lots of guinea are traded in one market order.

Traders with less than 1 Lakh capital may prefer trading Gold Guinea over Gold Mini. With Rs 10,000 capital, adding one gold guinea lot (or gold mini lot if starting capital is 1 Lakh) for every 100 Rs rise in the price of gold can lead to a very healthy accumulation of guinea lots.

Dear Klewtar,
According to you at 0.03% brokerage margin is Rs ~6 each way for one lot of Gold Guinea and Rs ~80 for one lot of Gold Mini each way
but Now compulsory Margin for :-
Gold Guinea ( 30AUG2011)- 26.73 % = 5788 Rs
Gold Mini (5SEP2011)- 6.48% = 17879 Rs

so how it is possible.....? which broker you are using...?

Pav

 

[Klewtar]

Dear Klewtar,
According to you at 0.03% brokerage margin is Rs ~6 each way for one lot of Gold Guinea and Rs ~80 for one lot of Gold Mini each way
but Now compulsory Margin for :-
Gold Guinea ( 30AUG2011)- 26.73 % = 5788 Rs
Gold Mini (5SEP2011)- 6.48% = 17879 Rs

so how it is possible.....? which broker you are using...?

Pav

I'm using October contracts. I have not checked on the latest margin security deposit amounts until I read your post and can now see them on http://web.angelbackoffice.com/Rese... Daily Margin Requirement As On-8-29-2011.pdf (I'm not on angel broking but I use their web resources while on Sharekhan.) Where is the news on latest margin requirements published????

The Rs ~6 and Rs ~80 were on last weeks trades for September's contracts.

 

[sumeetsj]

Silver 4 hourly chart with Fibo retracements and comments on chart.