rice trading expanded into the issuance of and negotiation of rice warehouse receipts, or rice coupons, the earliest form of modern futures, and rice became the bedrock of Osaka's economy. 1,300 rice dealers occupied seats on the Dojima Rice Exchange.

After a debasing of the Japanese currency, rice became the preferred currency. A Daimyo in need of money could send his surplus rice to Osaka, get a warehouse receipt, and sell it at a greater profit. Selling harvests and mortgaging future crops became commonplace.

The rice coupon made the Dojima Rice Exchange the world's first futures exchange. Rice coupons were known as "empty rice"--rice not in physical possession, or rice that had not been harvested. Rice coupon trading became so prominent that in 1749, 110,000 rice bales were freely tradedtrading systems try to create that edge. Most of them to one degree or another build on established market lore or innovate with technology. Homma made his great discovery of candlesticks by observing markets and the seasonal patterns of the rice trade for years if not decades. His research was meticulous and he had 1500 years of rice growing history to observe. His work was new, unique and meticulous. Being unique meant that he didn't "stand on the shoulders of others"; this means that he created an entirely new method of reading the price movements in the rice market. His edge lead to huge success, fame, fortune, honours and recognition by his nation.

He was indeed a fortunate man.

The Danielcode

Today's edge for forex, equity, bond and Gold traders comes