0 XP   0   0   0

What are commodities?

Commodities are products that are found or man made natural products. Think grain, sugar, oil but also meat, energy and metals. The four main categories of commodities are:

  • Energy
  • Metal
  • Livestock and meat
  • Agricultural

These categories can be split in:

  • Hard commodities, which are mined and extracted, like gas, oil and metals.
  • Soft commodities, which are grown and harvested, like grain, coffee, lumber and cattle.

Because commodities are most of the time mass produced in the same quality and quantity, they are priced the same no matter who produced them.

Commodity prices fluctuate all the time based on how the world responds to its many events. Because commodities are very different from stocks and bonds (these are only financial contracts), investors can use commodities to diversify their portfolio. Commodities are very commonly traded as a derivative in the form of futures. As mentioned before, many companies rely on certain ingredients. So a fixed future price might be very beneficial for various reasons.

The most famous commodity of them all is gold. Gold has been a relative safe investment. It's a store of value.

Comments

Join the conversation.

Leave a comment

Stay informed with my latest content.

Subscribe to my newsletter and receive an email as soon as I add content to PenkeTrading.com.


By clicking Register, you agree to the General Terms and Conditions.
Penke's Market Notifications
AHOG.XETRA
now

I found you a Overbought RSI (Relative Strength Index) on the daily chart of AHOG.XETRA.

AHOG.XETRA Daily Candlestick Chart
AMBARPIL.BSE
1 minute ago

I found you a STOCH Bearish Hidden Divergence on the daily chart of AMBARPIL.BSE.

AMBARPIL.BSE Daily Candlestick Chart
ALPSINDUS.BSE
1 minute ago

I found you a Oversold RSI (Relative Strength Index) on the daily chart of ALPSINDUS.BSE.

ALPSINDUS.BSE Daily Candlestick Chart
ZODIACLOTH.BSE
1 minute ago

I found you a Oversold RSI (Relative Strength Index) on the daily chart of ZODIACLOTH.BSE.

ZODIACLOTH.BSE Daily Candlestick Chart
AASHKA.BSE
2 minutes ago

I found you a Oversold RSI (Relative Strength Index) on the daily chart of AASHKA.BSE.

AASHKA.BSE Daily Candlestick Chart
ZENTEC.BSE
2 minutes ago

I found you a Overbought RSI (Relative Strength Index) on the daily chart of ZENTEC.BSE.

ZENTEC.BSE Daily Candlestick Chart
YASHO.BSE
3 minutes ago

I found you a Overbought RSI (Relative Strength Index) on the daily chart of YASHO.BSE.

YASHO.BSE Daily Candlestick Chart
YASHMGM.BSE
3 minutes ago

I found you a STOCH Bullish Reversal Divergence on the daily chart of YASHMGM.BSE.

YASHMGM.BSE Daily Candlestick Chart
WHITEORG.BSE
5 minutes ago

I found you a RSI Bearish Hidden Divergence on the daily chart of WHITEORG.BSE.

WHITEORG.BSE Daily Candlestick Chart
VISHAL.BSE
5 minutes ago

I found you a Oversold RSI (Relative Strength Index) on the daily chart of VISHAL.BSE.

VISHAL.BSE Daily Candlestick Chart
UNISTRMU.BSE
6 minutes ago

I found you a STOCH Bullish Reversal Divergence on the daily chart of UNISTRMU.BSE.

UNISTRMU.BSE Daily Candlestick Chart
UMANGDAIR.BSE
6 minutes ago

I found you a Death Cross on the daily chart of UMANGDAIR.BSE.

UMANGDAIR.BSE Daily Candlestick Chart
TOYAMIND.BSE
7 minutes ago

I found you a STOCH Bearish Hidden Divergence on the daily chart of TOYAMIND.BSE.

TOYAMIND.BSE Daily Candlestick Chart
TITANIN.BSE
7 minutes ago

I found you a STOCH Bearish Hidden Divergence on the daily chart of TITANIN.BSE.

TITANIN.BSE Daily Candlestick Chart
TINNATFL.BSE
7 minutes ago

I found you a Oversold RSI (Relative Strength Index) on the daily chart of TINNATFL.BSE.

TINNATFL.BSE Daily Candlestick Chart
TELESYS.BSE
9 minutes ago

I found you a STOCH Bullish Reversal Divergence on the daily chart of TELESYS.BSE.

TELESYS.BSE Daily Candlestick Chart
TEJNAKSH.BSE
10 minutes ago

I found you a STOCH Bullish Reversal Divergence on the daily chart of TEJNAKSH.BSE.

TEJNAKSH.BSE Daily Candlestick Chart
TARSONS.BSE
10 minutes ago

I found you a Morning Star Candle Pattern on the daily chart of TARSONS.BSE.

TARSONS.BSE Daily Candlestick Chart
WELE.XETRA
11 minutes ago

I found you a Death Cross on the daily chart of WELE.XETRA.

WELE.XETRA Daily Candlestick Chart
DDR2.F
12 minutes ago

I found you a RSI Bullish Reversal Divergence on the daily chart of DDR2.F.

DDR2.F Daily Candlestick Chart
XBO2.XETRA
12 minutes ago

I found you a Overbought RSI (Relative Strength Index) on the daily chart of XBO2.XETRA.

XBO2.XETRA Daily Candlestick Chart
SOLARA.BSE
13 minutes ago

I found you a Oversold RSI (Relative Strength Index) on the daily chart of SOLARA.BSE.

SOLARA.BSE Daily Candlestick Chart
SUVEN.BSE
15 minutes ago

I found you a STOCH Bullish Reversal Divergence on the daily chart of SUVEN.BSE.

SUVEN.BSE Daily Candlestick Chart