Archive | November, 2006

Crude Oil Futures

Crude Oil Trade

Crude oil has drifted in a narrow sideways channel for over two months now. OPEC has recently hinted at another production cut to further stabilize price. Today we saw inventory numbers for crude and distillates lower than expected. At the same time we have colder weather bearing down on us. The following is an excerpt […]

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Wednesday's Trading Action Extra Important for Grains

Wednesday’s Trading Action Extra Important for Grains

Overnight e-CBOT trading suggested the grain futures would open solidly lower Wednesday. More importantly is how the markets close. Recent history has seen the grain market bulls step in to buy corrective pullbacks in the grains–especially in corn and soybean futures. Heading into the end of the month and the end of the year, it […]

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U.S. Dollar Index

U.S. Dollar Index Bears Strong; But Mkt. Oversold

March U.S. dollar index futures on the New York Board of Trade on Tuesday hit a fresh six-month low of 82.82. Prices are in an accelerating downtrend from the mid-October high of 86.78. Bears have quickly gained strong downside technical momentum. Veteran currency traders know that the greenback has a tendency to sell off heading […]

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The Underlying Economic Fundamentals

What was relatively quite week on the U.S economic front created some interesting trading last week. On Wednesday the dollar was met with selling against most other major currencies. The Thanksgiving Holiday here in U.S made for a relatively quite session, but on Friday the markets came back to life with the Euro, Yen, Pound, […]

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T-Bond Futures

T-Bond Trade Recommendation

Bonds have been rallying mostly based on the idea that the FOMC would be lowering interest rates later this year. I have been arguing with anyone that will listen that this is simply not possible. This weeks PPI data has really taken the wind out of those sails and we are slowly seeing the rest […]

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Cotton Futures

Cotton Still Mired in a Solid Price Downtrend

March cotton futures at the New York Board of Trade on Wednesday saw a big pop higher, but at midsession were trading near the session low. See on the daily bar chart that prices are still in a solid downtrend. It will take a push above stiff trendline resistance at 53.50 cents in March cotton […]

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Corn Futures

Corn Trade Recommendation

Corn has been on a wild bull run but we are clearly seeing signs of a stall. This is likely to be the stall before the fall and we are positioning to capitalize on this pullback by purchasing these cheap near the money puts. Markets usually fall three times faster than they rise so if […]

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Estimated New Home Sales

Gasping for Air Up There

The S&P 500 has run 170 points (13.8%) essentially unabated since July’s low of 1230. It’s as if the market earns brownie points each day for setting new multi-year highs, just as an alpha male earns brownie points for flattering remarks toward his girlfriend. The problem here is that the air up here is getting […]

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Gold Futures

Bearish Descending Triangle in Feb. Gold

February gold futures have recently formed a bearish descending triangle pattern on the daily bar chart. Prices last week hit a fresh two-month high of $647.30, but have since backed off and have seen a series of lower daily highs to form the bearish near-term chart pattern. If February gold pushes below solid technical support […]

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Skyfull of Exchange Baloons

Just a few days in front of turkey overload, we wonder if our simmering markets could be getting to the stock overload level. Just as with turkey overload, a mean that lasts a week because of the large quantity cooked, we have overload on stocks with the inflated prices they are commanding. Friday, the NMX […]

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