Archive | May, 2009

When in Commodities, Do what China does

If China is increasing protein in their diets and buying more soybeans, then maybe you should be long soybeans. If China is stockpiling copper to have an ample supply for building an infrastructure, then maybe you should be long copper. If rumors circulate that China is diversifying their reserves from US dollars by buying precious […]

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Gold Bulls Working on Price Uptrend

June gold futures prices are hovering near the top of the recent trading range as the market is in a four-week-old uptrend on the daily bar chart. A close in June gold futures prices above solid technical resistance at last week’s high of $934.80 would provide the bulls with fresh technical strength to suggest another […]

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Rates Stabilize

Interest rate products stabilized on Tuesday allowing the market to digest yesterday’s swift sell-off. We warned you last week that this would be a slow news week…and it has been. The only guidance that Treasury traders seem to be relying on is the direction of equity trade. Unfortunately, thin stock volume has resulted in yesterday’s […]

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July 2009 Corn Futures

Corn Bulls Still Have Upside Momentum

July corn futures at the Chicago Board of Trade on Wednesday hit a fresh four-month high of $4.34 a bushel. Prices are in a steep three-week-old uptrend on the daily bar chart and the next upside price objective for the bulls is to produce a close above the January high of $4.49 1/4 a bushel. […]

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Golden Volatility / Opportunity

The recent trade in the Gold market has proved the resiliency of Gold traders. In the past eight months we have traded a $300.00+ range and $20.00 + daily ranges are now common place. There have been many reasons for this trend the Government bail-outs, huge unemployment numbers (9% unemployed) housing foreclosures, and Historic Financial […]

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May 12 Bond

Interest Rates Creep Lower

The Fed was at it again, but this time they were buying securities on the short end of the yield curve. The Fed purchased $6 billion in fixed income securities maturing in 2012 and 2013 (the realization that these are now considered short-term debt instruments makes me feel old). At the same time, they auctioned […]

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Perception vs. Reality

The latest advance in stocks and commodities with the fall in treasuries and the US Dollar, could in fact be a precursor of what is to come but the pace of the advances and declines is flawed. These spectacular moves in such a short time are irrational and almost always not true. Stocks are moving […]

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May 8 S&P 500

Not So Bad = Good

The major stock indices found comfort in alleviating the uncertainty surrounding the stress tests and the employment report. Each event offered overall negative news but also eliminated many suspicions of disastrous scenarios. With investors looking at a potential depression in the rear-view mirror, the market is approaching a major crossroads. It seems as though the […]

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soybean futures

Soybean Bulls Have Technical Strength, Momentum

July soybean futures at the Chicago Board of Trade on Thursday hit a fresh seven-month high of $11.31 a bushel. Prices are also in a nine-week-old uptrend on the daily bar chart. The bulls have gained solid upside technical momentum recently, and are looking for more on the upside in the near term. The next […]

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