Jim Rogers New Book
Jim Rogers has a new book out called Hot Commodities. Jim is a fundamental trader and he makes clear on p. 93 that is not so sure about technical analysis. If he is talking of the predictive type of technical analysis, I agree whole-heartedly with him. Prediction is folly — especially in the hands of the technical indicator gurus.
Earlier in his book though, he directs potential investors in commodity markets to seek out “commodity pool operators” (CPOs). I hate the term commodity pool operator. It is a governmental term slapped on traders regulated by the CFTC. It does not accurately describe the nature of these traders. For one thing most commodity pool operators are technical trend followers and most trade in much more than just commodities. I seriously doubt you can find a CPO today that trades ONLY in commodities. The term commodity pool operator is plain misleading. Not picking on Jim for using it, but I am picking on the term itself.
Even though Jim is a fundamental guy I have always admired his understandings of the world. There can’t be many out there who can connect all those fundamental dots like Jim — and make money too. Plus he is telling the world that commodities are worthwhile markets too!
