Futures traders can be segregated into two broad groups: hedgers and speculators. Hedgers are futures traders who have an interest in the underlying commodity. A cattle producer will use cattle futures to hedge against falling cattle prices. A company that uses large amounts of oil would use futures to hedge against rising energy costs. A bank could use interest rate futures to protect itself from interest rate changes. Basically, hedgers use the futures market to defer risk, not to profit.

Speculators make up a majority of the futures market, and they are willing to assume the risk hedgers do not want. Speculators are futures traders who have no interest in the underlying commodity. Their purpose for being in the market is to profit from price fluctuations. Speculators, however, provide a valuable service to the market as they bring liquidity, which ensures price stability.

Speculators can be categorized into several broad groups: scalpers, day traders, swing traders, and arbitragers. Scalpers and day traders look for small profits and practically trade continuously. Swing traders hold contracts for extended periods in hopes of capitalizing on price movements. Arbitragers play an important role in the marketplace. Arbitragers profit from price discrepancies between similar contracts on different markets. Since there are many arbitragers paying attention for profit opportunities, they act as a force to equalize prices between various markets.

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In a perfect world, market prices would consistently, and predictably, oscillate. This would allow traders to "buy low" and "sell high". In reality, however, the market is anything but predictable and consistent. Until now, that is. We have developed a system that makes the unpredictable, predictable. With our STARS approach, you can generate consistent oscillations independent of the market's movement. The book comes with a 90 day money back guarantee. Test the system with no risk for 90 days, and if you are unsatisfied at the end of 90 days, tell us you want your money back. Your trading success and financial freedom are just a download away.