A Mission of "China Futures Exchange" website a division of web.trading is providing traders access to knowledge to trade commodity futures, options and forex markets, stock indices and stocks successfully and get financial rewards by profitably trading the Asia-based markets, including Chinese markets. Keep in mind, it's Your Money and Your Money Matters. Please note, we are not associated with or connected to The Shanghai Stock Exchange (SSE) or The China Financial Futures Exchange (CFFEX) in any way. Furthermore, all trademarks are acknowledged.
China futures markets are now trading (or potential futures markets exist) in these commodity markets: ZCE Gluten Wheat futures, ZCE Cotton futures, SHFE Fuel Oil futures, DCE Corn futures, DCE Soybeans futures, ZCE White Sugar futures, DCE Soybean Oil futures, ZCE PTA futures, SHFE Zinc futures, ZCE Rapeseed Oil futures, DCE Polyethylene PVC futures, SHFE Gold futures, Cotton, Sugar, Rice, Rapeseed oil, Methyl alcohol, Glass, Manganese, Silicon, Soybean meal, Coal, Iron ore, Palm oil, Eggs, Steel, Silver, Wire, Nickel, Asphalt, Rubber, Tin, Lead, 5-year Treasury bonds, 10-year T-bonds, SSE-50, CSI-300, CSI-500 and the China Stock Futures markets.
Regarding trading futures markets for profit, there are problems and issues regarding back testing of trades, be it Asian markets or the US markets. Back-testing and simulated trading involving non-real-time trading can sometimes be of dubious value. That's why they don't necessarily work well and are far from a reliable money-making trading system when based on back-tested P&L results when traded in real-time with actual trading profits and losses.
There are several reasons why back-testing and simulations may not be reliable in trading the Asian-based futures markets in real time, non-simulated trading. For example, involving the exchange reported daily high and low data points. You do not really know if the market ever actually traded at that high or low price (after your order was in-fact placed), so you may not know for sure if your simulated stop-loss or trade exit order was really hit and actually executed, or possibly not.
If you develop a new back-tested trading system featuring trading rules such as this simple free trading system where you enter the market by going short after 3 consecutive up-market days, followed by 1 wide range down-day which also breaks the extreme low of the previous 3-days by 2-ticks. To help with trading risk control and large loss prevention this simple free-trading-system recommends you always place a resting stop-loss order 1-tick above the highest high of the latest 4-days (including the trade-entry day) for loss protection.
Over time the market price bar chart may tend to look more bullish vs actuality, making your sell position appear somewhat suspect but you still need the courage to make the trade if you are following mechanical rules like this. The free trading-system rules above justify and signal the short-trade, which is why you should adhere to mechanical trading system rules regardless of appearance and your opinion.
That's because your chart analysis may not take into full consideration the magnitude of large down-days with the price chart appearing more bullish over time when the larger magnitude down days are really more bearish overall vs the series of smaller movement up days.
That's a more or less simple example of using chart analysis and long range time-spans and technical analysis methods you learn by attending various trading seminars and doing comprehensive research and technical analysis.
That also assumes your technical analysis was performed using long-range back-tested market data and using sound trading rules to develop a good commodity futures trading methodology which was extensively tested for use in future real-time trading involving position or day trading, all based on sound trading principles and time-tested trading methods.
The China stock futures markets are becoming more and more popular with stocks and commodities traders thru out the world, including traders from the USA, Asia and within China. Some of the most successful CSI futures contracts are the SSE-50, and the relatively new CSI-500 stock market index which consists of 500 small-cap firms listed on the Chinese Shenzhen Exchange and Shanghai Stock Exchange.
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