This week taught me an important lesson on using valid and reliable sources. I was referring to price trends on three different websites and failed to see the slight differences in them. Therefore, for future I know which source to rely on.
My strategy would be to continue to stay in long position for the March 2013’s contract. I strongly believe that prices will rise in the future, based on the material that we covered in class, and therefore I expect to reap even more profits. For contracts in near future (December 2012), I will be consulting reliable sources to make my prediction. Perhaps, another reason for price volatility this week could have been due to the publication of crop report (which Ishrat mentioned in one of her twitter updates). As well, this week the market crashed and there was a lot of hastiness among traders which might have influenced the prices by the time I got into the market.
I would probably make multiple trades again this week but the one change that I will make is that I will get into a contract sooner. In the past, I have entered the trade on Wednesday or Thursday but this time around I will most likely enter the market on Monday or Tuesday.
