Archive | November, 2007

Coffee Futures Month End Adjustments

Coffee prices remained confined to a 150 point range on what amounted to an inside day Thursday. Traders processed the meaning of the previous two days, Tuesday reversal and Wednesday sharp gain. I expect funds to be supportive if not encouraged to add to their long positions on Friday… And yes, there is a part […]

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U.S. T-Bond Bulls Still Technically Strong

The volatility in the U.S. Treasury markets heated up this week, as new contract highs were notched on Monday, followed by solid losses on Tuesday and Wednesday. However, price action Thursday morning found the bulls making a counter-attack and having success. Price action Thursday morning was scoring a bullish “outside day” up on the daily […]

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Gold Makes Strong Rebound; Bulls Again Powerful

The gold futures market recently backed off sharply from the early-November contract and 27-year high of $848 an ounce. Profit-taking pressure was featured. The past few trading sessions have seen the precious yellow metal in a solid price rebound as the bulls have regained fresh upside technical momentum. The early-November high of $848 is now […]

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Holiday Volatility

This week we have the Thanksgiving holiday here in the States. Most US traders take most if not all of the week off. What that means is a significant fall in liquidity. Lower liquidity usually means more volatility so while it is a Holiday, it is not time to lose focus and turn a blind […]

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August lows chart

Technically Crunching the Market

The market’s action has made it fairly clear that this “wall of worry” will be tough to climb and unlike earlier in 2007, we might actually be headed for trouble. High energy prices, “agflation”, a soft dollar, a weakening economy based upon the trembling merits of a housing recession (if not an outright housing depression) […]

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Option Queen Letter

Just to be positive, here is some good news–because the US currency has declined so steeply, manufacturing is returning to our shores. Recently, BMW announced that it will beef up its US production of their cars which, this is a switch, will be shipped to Germany and other destinations. Why? Simple, it is cheaper to […]

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Price Volatility Heats Up in Gold Futures

December gold futures were under strong selling pressure Thursday morning on profit-taking pressure from recent gains. No serious chart damage has occurred recently. See that the shorter-term moving averages I follow (9- and 18-day) are still in a bullish mode, as the 9-day is above the 18-day moving average. The recent higher volatility at higher […]

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Gold Traders Take Profits

After four months of a resilient uptrend in the Gold market, it appears traders are beginning to feel the pressure to take profits. I believe Gold traders are keeping a close eye on the recent turmoil in the Stock Market and it brings back memories of the mass Metals liquidation to cover margins in their […]

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Swiss Franc Trade Recommendation

All this talk about the Dollar being dead is simply over blown. Any investor knows that the greatest trades come from being a contrarian. When the entire investment community says that the Dollar is going down you know it is time to buy. The Swiss Franc has been on a wild rally especially in the […]

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Crude Oil and an Overhyped Stat

As light sweet crude oil prices approach $100.00 per barrel, lunch table conversations could turn from housing related issues to the economics of consumer spending with $100 oil. With $100/barrel oil, will consumers finally hit their threshold for spending and begin to cut back on disposable income purchases in order to fit energy costs into […]

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