Close Menu
    Facebook X (Twitter) Instagram
    Newsblaze.co.ke
    • Home
    • Contact Us
    • Advertise With Us
    • Teachers’ Resources
    • Latest Education News
    • TSC News Portal
    • KUCCPS portal
    • Knec Schools Exams Portal
    • Search
    Facebook X (Twitter) Instagram
    Newsblaze.co.ke
    Trending

    Commodities Trading: Profiting from Basic Goods

    Hillary KangwanaBy Hillary KangwanaMay 31, 2025
    Cereals displayed at the market
    Cereals displayed at the market

    In the labyrinth of financial markets, commodities trading stands out as a fundamental pillar, allowing investors to profit from the very bedrock of the global economy—basic goods. This form of trading involves the buying and selling of physical goods like gold, oil, and agricultural products or their derivative contracts. It is an ancient form of trade, predating even the stock market, and remains vital to the global economy today. With the advent of the internet and modern trading platforms, commodities trading has become more accessible than ever. This article explores how individuals and institutions can leverage commodities trading for profit, emphasizing the role of commodity trading platforms and adhering to the simple rules for exchanging foreign currency.

    Understanding Commodities Trading

    Commodities are classified into two main types: hard and soft. Hard commodities are natural resources that are mined or extracted (such as gold, oil, and natural gas), while soft commodities are agricultural products or livestock (such as wheat, coffee, and pork bellies). Trading in these commodities involves direct physical transactions or more commonly, through futures contracts on a commodity trading platform. These platforms have revolutionized the way commodities are traded, providing tools for analysis, real-time data, and seamless execution of trades.

    The Role of Commodity Trading Platforms

    A commodity trading platform is a digital marketplace where traders can buy and sell commodity contracts. These platforms offer a range of financial instruments related to commodities, including futures, options, and spot contracts. The primary advantage of using a trading platform is the aggregation of market data, charting tools, and the ability to execute trades instantly. For beginners and experienced traders alike, selecting a reputable and user-friendly platform is crucial. The best platforms offer educational resources to help traders understand market trends and develop strategies.

    The Importance of Strategy

    Success in commodities trading requires more than just an understanding of the basic goods being traded. It involves a strategic approach that considers market trends, geopolitical events, and economic indicators. Traders must be vigilant, as commodities markets are known for their volatility. This volatility, while risky, creates opportunities for profit. Implementing risk management techniques, such as stop-loss orders and position sizing, is essential to protect investments.

    Adhering to Simple Rules for Exchanging Foreign Currency

    Commodities trading on a global scale involves dealing with multiple currencies. As such, understanding the simple rules for exchanging foreign currency is integral. This includes monitoring exchange rates, understanding the impact of geopolitical events on currency values, and utilizing currency risk management strategies. Many commodity trading platforms offer tools for managing currency exposure, including futures contracts on currencies themselves. Being adept at foreign currency exchange can enhance profitability and reduce risks associated with currency fluctuations.

    Market Analysis and Research

    Successful commodities trading is underpinned by thorough market analysis and research. Traders must stay informed about global events that could affect commodity prices, such as changes in government policies, natural disasters, or shifts in consumer behavior. Additionally, technical analysis, which involves studying chart patterns and using indicators to predict future price movements, is a valuable skill for traders. Combining fundamental and technical analysis can provide a more comprehensive view of the market, leading to better-informed trading decisions.

    Diversification and Risk Management

    Diversification is a key principle in commodities trading. By spreading investments across various commodities or other asset classes, traders can reduce risk. No single market event is likely to affect all commodities equally, which can protect traders from significant losses. Furthermore, understanding and applying risk management techniques is crucial. This includes setting appropriate leverage levels, using protective stop losses, and only investing capital that one can afford to lose.

    Ethical and Sustainable Trading

    As commodities trading directly impacts the real world through the demand for physical goods, ethical and sustainable trading practices are becoming increasingly important. Traders should consider the environmental and social impacts of the commodities they trade and choose to invest in companies or commodities that adhere to sustainable practices. This not only benefits the planet and society but can also be a wise long-term investment strategy as consumers and governments increasingly favor sustainable and ethically produced goods.

    Conclusion

    Commodities trading offers a unique opportunity to profit from the most basic goods that fuel our global economy. Through the use of commodity trading platforms, traders have unprecedented access to global markets and the tools needed to trade effectively. However, success requires more than just access; it demands a thorough understanding of market dynamics, a strategic approach to trading, and adherence to principles of risk management and ethical investing. By combining these elements, traders can navigate the volatile world of commodities trading and emerge with substantial profits, contributing to a more sustainable and equitable global economy.

    Previous ArticleDental NHIF/ SHIF Hospitals in Kenya: Kitui County Comprehensive list of NHIF Dental Accredited Hospitals
    Next Article Video: DP Ruto changes stand, promises to support push for a referendum
    Hillary Kangwana
    • Website

    Related Posts

    Pain and Agony for teachers as TSC interdicts 5 for exam malpractices, 57 facing investigations.

    Trending
    Read More

    Best Hotels and Restaurants In Nairobi Kenya.

    Trending
    Read More

    Watch out, you may be consuming ‘plastic’ eggs!- See details

    Trending
    Read More

    Maseno University student portal, admission letter, courses

    Trending
    Read More

    KNBS states date when the 2019 Census ICT Supervisors, Enumerators and Content Supervisors will receive their pay

    Trending
    Read More

    KNBS- Briefing on the 2019 Census recruitment, training of Traners, ICT Supervisors and Enumerators

    Trending
    Read More

    Why you must think twice before taking your favourite Snacks: Mandazi and Chapatis this festive season

    Trending
    Read More

    Inua Jamii Programme Latest News, payments, Registration

    Trending
    Read More

    List of sanitizers banned by kebs in Kenya

    Trending
    Read More

    LATEST NEWS.

    • Alliance High School KCSE 2025 Joint Exam Papers & Answers
    • Moi High School Kabarak KCSE 2025 Joint Exam Papers & Answers
    • Nyambaria High School KCSE 2025 Joint Exam Papers & Answers
    • Starehe Girls High School KCSE 2025 Joint Exam Papers & Answers
    • Kisii High School KCSE 2025 Joint Exam Papers & Answers
    • Moi Girls High School Eldoret KCSE 2025 Joint Exam Papers & Answers
    • Pangani Girls High School KCSE 2025 Joint Exam Papers & Answers
    • Kenya High School KCSE 2025 Joint Exam Papers & Answers
    • Kala KCSE 2025 Joint Exam Papers & Answers
    • Maseno High School KCSE 2025 Exam Papers & Answers
    • Starehe Boys High School KCSE 2025 Exam Papers & Answers
    • Alliance Girls High School KCSE 2025 Exam Papers & Answers
    • Lenana High School KCSE 2025 Exam Papers & Answers
    • Mang’u High School KCSE 2025 Exam Papers & Answers
    • Maranda High School KCSE 2025 Exam Papers & Answers
    • Loreto Girls High School KCSE 2025 Exam Papers
    • Kibutio Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • Ngoru Orthodox Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • Mweru Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • Weru Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • Nairobi School KCSE 2025 Exam Papers
    • St Cecilia Kaheti Girls High School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • St Anne Githunguri Girls Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • Gaikundo Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • St. Vincent Depaul Giathugu Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}

    TSC NEWS TODAY

    • TSC accussed for mishandling teachers’ hardship allowances
    • TSC urged to deploy female teachers at Kabuto primary school
    • TSC CIRCULAR ON CONDUCTING OF PROMOTIONAL INTERVIEWS FOR TEACHERS AND CURRICULUM SUPPORT OFFICERS (CSOs) IN 2025/2026 FINANCIAL YEAR
    • TSC Gives New Factors to be consider when transferring teachers
    • TSC to reduce CBA review cycle to 2 years

    KNEC LATEST NEWS

    • Kibutio Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • Ngoru Orthodox Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • Mweru Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • Weru Secondary School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}
    • St Cecilia Kaheti Girls High School’s CBE Subjects, Pathways, Contacts, Location, Fees, Admission {Full Details}

    KUCCPS NEWS

    • KUCCPS Admission Letters for all Universities in Kenya
    • KUCCPS Announces Teacher Upgrade Training and TVET Intakes
    • Diploma in Primary Teacher Education (Teacher Upgrade Programme): How to apply, requirements
    • Kuccps application link for P1 and ECDE upgrade
    • Kuccps announces 45,544 slots for upgrade of P1 or ECDE Certificate holders

    EDUCATION NEWS

    • Only 17,400 schools verified and have received capitation
    • Lecturers down tools in a strike that paralyzes learning in Universities
    • There are over 50,000 ‘ghost’ learners costing taxpayers Sh1bn annually
    • All University Students to get Funding- CS Ogamba Says
    • PETITION TO THE NATIONAL ASSEMBLY FOR THE RECOGNITION OF JUNIOR SECONDARY SCHOOLS AS FULLY INDEPENDENT INSTITUTIONS

    KMTC NEWS

    • KMTC intake for September 2025 {Applications help}
    • PCEA Ongata Booth Girls School CBE Subjects, Pathways, Contacts {Full Details}
    • Langata Barracks Secondary School CBE Subjects, Pathways, Contacts {Full Details}
    • Langata High School CBE Subjects, Pathways, Contacts {Full Details}
    • Farasi Lane Secondary School CBE Subjects, Pathways, Contacts {Full Details}

    HELB NEWS TODAY

    • Helb loans 2025/2026: All you need to know
    • HELB asks teachers to help in identifying needy students
    • Helb Student Portal Online- Register, Login
    • Helb Statement- TVET Loan applications for 2019/2020 Financial Year; Loan amounts and application details
    • How to apply for Helb Loan (First and Subsequent Loans)

    UNIVERSITIES AND COLLEGES

    • Bungoma National Polytechnic Courses, Contacts, Fees, Location and How To Apply
    • Taita Taveta National Polytechnic Courses, Contacts, Fees, Location and How To Apply
    • Sigalagala National Polytechnic Courses, Contacts, Fees, Location and How To Apply
    • Nyeri National Polytechnic Courses, Contacts, Fees, Location and How To Apply
    • Nyandarua National Polytechnic Courses, Contacts, Fees, Location and How To Apply

    TEACHERS' RESOURCES

    • Alliance High School KCSE 2025 Joint Exam Papers & Answers
    • Moi High School Kabarak KCSE 2025 Joint Exam Papers & Answers
    • Nyambaria High School KCSE 2025 Joint Exam Papers & Answers
    • Starehe Girls High School KCSE 2025 Joint Exam Papers & Answers
    • Kisii High School KCSE 2025 Joint Exam Papers & Answers
    • Moi Girls High School Eldoret KCSE 2025 Joint Exam Papers & Answers
    • Pangani Girls High School KCSE 2025 Joint Exam Papers & Answers
    • Kenya High School KCSE 2025 Joint Exam Papers & Answers
    • Kala KCSE 2025 Joint Exam Papers & Answers
    • Maseno High School KCSE 2025 Exam Papers & Answers
    • Starehe Boys High School KCSE 2025 Exam Papers & Answers
    • Alliance Girls High School KCSE 2025 Exam Papers & Answers
    • Lenana High School KCSE 2025 Exam Papers & Answers
    • Mang’u High School KCSE 2025 Exam Papers & Answers
    • Maranda High School KCSE 2025 Exam Papers & Answers
    • Loreto Girls High School KCSE 2025 Exam Papers
    • Nairobi School KCSE 2025 Exam Papers
    • Asumbi Girls KCSE 2025 Revision Exams
    • Grade 7 Term 3 Schemes of Work
    • Grade 9 Term 3 Schemes of Work
    • Grade 6 Term 3 Schemes of Work
    • Grade 8 Term 3 Schemes of Work
    • Form 3 Term 3 Schemes of Work
    • Form 2 Term 3 Schemes of Work
    • GRADE 8 AGRICULTURE & NUTRITION NOTES
    • GRADE 9 KISWAHILI LESSON NOTES
    • GRADE 9 ENGLISH LESSON NOTES
    • Free Grade 8 Integrated Science Notes
    • Free Grade 8 Creative Arts and Sports Notes
    • FREE GRADE 9 SOCIAL STUDIES NOTES
    • FREE GRADE 9 SOCIAL STUDIES NOTES
    • FREE GRADE 8 PRETECHNICAL NOTES
    • FREE GRADE 8 CRE NOTES
    • Form 3 Agriculture Schemes of Work Term 3
    • FORM 2 BIOLOGY SCHEME OF WORK TERM 3
    • FORM 2 AGRICULTURE SCHEME OF WORK TERM 3
    • GRADE 1 CREATIVE ARTS SCHEMES OF WORK 
    • FORM 3 BIOLOGY SCHEME OF WORK TERM 3
    • Grade 9 Term 3 Rationalized Schemes of Work.
    • Grade 8 Term 3 Rationalized Schemes of Work.
    • Grade 7 Term 3 Rationalized Schemes of Work.
    • Grade 7 Notes {All Subjects}
    • Maseno School 2025 Pre-mock Exams
    • KCSE 2025 Revision Exams {Full Papers}
    • Grade 7 Free Exams and Marking Schemes
    • Grade 8 Targeter Exams {All Subjects and Answers}
    • Grade 9 Targeter Exams {All Subjects and Answers}
    • Grade 9 Targeter Exams {Plus Answers}
    • Grade 4 Targeter Exams {Plus Answers}
    • Grade 6 Targeter Exams {Plus Answers}

    BANKS AND MOBILE LOANS

    • Crypto’s Quiet Revolution: How Africa Is Rewriting The Rules Of Finance
    • META COLLAPSES ALONG WITH HIS METAVERSE
    • Which Cryptocurrency Would Explode Next?
    • Famous Gold-Backed Cryptocurrencies For 2022
    • Innovations Post-Bitcoin: Exploring Cryptos that Evolved from BTC

    HEALTH AND NUTRITION

    • Turkana County NHIF Inpatient Hospitals, Location, Contacts
    • Dental NHIF/ SHIF Hospitals in Kenya: Kakamega County Comprehensive list of NHIF Dental Accredited Hospitals
    • New Consolidated NHIF List of benefits, Services to members
    • Isiolo County NHIF Outpatient/ Inpatient Hospitals For Civil Service and Disciplined Services- Location, Contacts, Requirements
    • West Pokot County NHIF Latest List of Approved Facilities/ Hospitals: Location, Contacts, Services, Hospital Type and Code
    • Advertisement
    • Banks and Money
    • BEST TOP TEN
    • Breaking News
    • Cheap Mobile Loans
    • Crimes and Courts
    • Editorial
    • Featured
    • FREE KCPE REVISION MATERIALS
    • General News
    • Health & Nutrition tips
    • HELB Portal
    • How to, Did You Know?
    • IEBC KENYA NEWS
    • Insurance news
    • International news
    • Jobs
    • KCSE Revision Materials
    • KMTC News Portal
    • KNEC News
    • KNEC News Portal
    • Knec Schools Exams Portal
    • Knec Schools Portal
    • KNUT NEWS
    • KRA Portal
    • KSSSA Portal
    • KUCCPS portal
    • KUPPET
    • Latest Education News
    • NSSF PORTAL
    • NTSA Service Portal
    • Politics & Govt
    • Sponsored
    • Sports
    • Teachers' Resources
    • Tech News
    • Trending
    • TSC Latest News
    • TSC News Portal
    • Uncategorized
    • Universities & Colleges information
    • Universities and Colleges
    LATEST NEWS
    • Alliance High School KCSE 2025 Joint Exam Papers & Answers
    • Moi High School Kabarak KCSE 2025 Joint Exam Papers & Answers
    • Nyambaria High School KCSE 2025 Joint Exam Papers & Answers
    • Starehe Girls High School KCSE 2025 Joint Exam Papers & Answers
    • Kisii High School KCSE 2025 Joint Exam Papers & Answers
    Facebook X (Twitter) Instagram Pinterest
    • Home
    • Contact Us
    • Advertise With Us
    • Teachers’ Resources
    • Latest Education News
    • TSC News Portal
    • KUCCPS portal
    • Knec Schools Exams Portal
    • Search
    © 2025 ThemeSphere. Designed by ThemeSphere.

    Type above and press Enter to search. Press Esc to cancel.