It involves the trade of various assets, mainly futures contracts, whose prices are determined by the price of the underlying physical commodity. By buying or selling futures contracts, investors bet on the predicted future value of a commodity. If they believe a commodity's price will rise, they will purchase certain futures contracts-or go long-and if they believe the price will decrease, they will sell certain futures contracts-or go short.

Commodity trading has its roots in ancient empires that developed trade channels for exchanging goods owing to the importance of commodities in daily life.

Day trading commodities involves buying and selling futures contracts within the same trading day to capitalize on short-term price movements. Here are key steps to get started:

1. Education and Research: Understand the fundamentals of commodities markets, including supply and demand factors, and familiarize yourself with technical analysis tools.

2. Choose a Brokerage: Select a broker that offers low fees, robust trading platforms, and access to commodities futures markets.

3. Develop a Strategy: Formulate a day trading plan with defined entry and exit points, risk management rules, and position sizing.

4. Use Technical Analysis: Utilize charts, indicators, and patterns to identify trading opportunities.

5. Risk Management: Implement stop-loss orders and never risk more than a small percentage of your trading capital on a single trade.

6. Stay Informed: Keep up with news and events that impact commodity prices, such as weather reports and geopolitical developments.

Consistent practice and disciplined execution are essential for successful day trading in commodities.