What are Seasonal Charts?

Displayed below in Figure #1, is a screen shot of a 15 year "Seasonal" Corn chart; above the 2001 Dec. Corn contract.  Both software packages come from Gecko Software, Inc.  The first chart, which is the Seasonals Plug-In is brand new and requires GC2000 to run.  It should become available sometime before the end of April 2001.

The way we implement this knowledge, is by looking at what the Dec. Corn contract has done during the past 15 years; what is normal you might say.  Basically, the Dec. Corn contract has its annual highs in the months of March and April, and its annual lows in the month of September and October.  Now, given this knowledge, are you going to put on a trade to go long on a December Corn contract in the middle of March?  I should hope not, it goes against the seasonal trend.

Figure #2: This example shows how we can also overlay additional years, showing the seasonal "price shift".  Figure #2 shows the seasonal price shift between 15 years and 3 years.

Wow!!!  See how powerful this information can be to a trader?  Don't buck the trend has never been more true than when trading commodities.  Now you can know, historically, what IS the trend...

Good luck trading the trend...

Figure #1: 15 years historical over C,2001Z

Figure #2: Predicting C - Corn Z - Dec. 15 blue, over 3 years red.

What is The PitMaster's Chartbook?

	The PitMaster's Chartbook is a technical, charts and graphs study of the futures market. You will be able to see how The PitMaster uses Gecko-Charts 2000 to graph, chart and trade the futures market, using the "Market Tips." section posted on PitNews.com.
	I'll always post one screen capture on this web site from my book for your review

Disclaimers

Copyright (c) 2000, The PitMaster.com

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Instructions

 

 

 

 

 

 

 

 

 

 

 

 

 

Disclaimer

Disclaimer: This service has been provided free of charge, as an instructional tool only! Please do not use it to make your own live trades. This ChartBook is being provided by The PitMaster, and comes primarily from the tips offered on www.PitNews.com, in their "Market Tips" section which is being provided by The Great Pacific Trading Company.  Remember, The PitMaster's Chartbook is meant to be used as a Gecko-Charts instructional tool only.   When investing real money, please consult a licensed broker.

Hypothetical or simulated performance results have certain limitations. Unlike an actual performance record, simulated results do not represent actual trading. Also, since the trades have not actually been executed, the results may have over or under compensated for impact, if any, of certain market factors, such as lack of liquidity. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown. The risk of loss in trading futures and options can be substantial; therefore only genuine "risk" funds should be used in such trading. Futures and options may not be suitable investments for all individuals and individuals should carefully consider their financial condition in deciding whether to trade. Option traders should be aware that the exercise of a long option would result in a futures position.