Archive | December, 2006

Underlying Fundamentals

Last week the main story for the U.S Dollar was Friday’s NFP report. Contained within the report was an upward revision for the prior two months’. This adjustment added 42,000 jobs and painted an unexpectedly resilient picture of the U.S Labor Market. However, keep in mind that a tight labor market can contribute to inflationary […]

Continue Reading 0

A Contract That Improved the Way Markets Work

CME, the world’s largest and most diverse financial exchange, today is celebrating the 25th anniversary of its benchmark interest rate futures contract, CME Eurodollar futures. This contract is the world’s most actively traded short-term interest rate contract and is used by financial institutions to manage interest rate risk across the entire yield curve. (more…)

Continue Reading 0
Dow Futures

Dow Trade

The Dow continues to be propped up by, at this point who really knows, but it is certainly not reality. This market has ignored every red flag we have seen these past few months. You have all heard the saying that says “the bigger they are the harder they fall”, well that is exactly what […]

Continue Reading 0
Consumer Price Index

Inflation Apparently is a Thing of the Past

The market continues to push into new territory of all-time and multi-year highs, yet it also appears to be putting positive spins on negative data releases and attaching itself to positive economic data. Housing weakens here; manufacturing slowdown there, retail sales disappoint here and inflation isn’t moderating over here. That is all I heard last […]

Continue Reading 0
Live Cattle Futures

Live Cattle Trade

Live cattle is a market I do not trade very often but after going over my weekly view of all the markets, I could not ignore the weekly chart pattern. Here, much like in the wheat trade, we have built a classic bull flag pattern while also doing a 50% fibonacci retracement, and small traders […]

Continue Reading 0
Wheat Futures

Wheat Trade Recommendation

Wheat has been the leader of the grain complexes’ rally so far this year. It has also lead the pullback that we have seen in the very recent past. The pullback has been a classic 50% fibonacci retracement and in doing that retracement we have also formed a classic bull flag. The current commitment of […]

Continue Reading 0

The Underlying Fundamentals

Last week we saw continued weakness on the U.S economic front. The ISM report came in last week at 49.5, the lowest level in three years. This did not bode well for the dollar and it continues to show signs of weakness versus most of the majors. We have been bearish the dollar for quite […]

Continue Reading 0
Sugar Futures

Sugar Trade Recommendation

Sugar has just recently supported out at a long term support level. On the daily chart below you can clearly see a flat topped rising wedge pattern that is often a sign of a market bottom. This market is beginning to turn and we are now seeing signs that this market could begin to climb. […]

Continue Reading 0