Breakout aims to capitalise on short-term movements. Traders use this method to find a gain by buying just before a commodity price moves substantially higher, or selling just before the price moves drastically lower. This is best used when market trends are strong and long-lasting.
Fundamental trading strategies require more time for research and a greater understanding of how different factors affect commodity prices. Fundamental trading is considered a longer-term approach to trading commodities, analysing quantitative and qualitative data.
Range trading is built around a charting mechanism that records support and resistance levels influenced by supply and demand. Traders buy at the support level (when prices are at the bottom of a range) and sell at the resistance level (when prices are at the top of a range).