News of further bailouts in Europe goose the markets today. Crude advanced to a three week high today trading towards our target of $103- 105/barrel in the July contract. Aggressive traders can buy dips in Crude as well as the distillates. Natural gas appreciated an additional 3% today as prices are approaching levels not seen […]
Archive | May, 2011
Blow off top forming in Treasuries?
Bonds and notes rallied moderately sharply in the face of higher equities and lower safe havens (greenback and gold). There seems to be a transformation in market psychology and more importantly psychology. In the coming days we will know if the timid trade in Treasuries or the risk on trade was the right call. In […]
Soybeans See Price Action Pause, Which is Not Bearish
July soybean futures at the Chicago Board of Trade are presently in a pause mode on the daily bar chart, following last week’s strong gains that pushed prices to a three-week high of $13.96 a bushel. The present pause is not bearish and does suggest the bulls are building up energy for another upside assault […]
Risk OFF
Is risk off indefinitely, could this be a change in the market dynamic? We think it is a temporary pause but time will tell. Inside day in Crude oil with prices back near the bottom of the recent trading range down 2.6% today. Looking at the charts this level has been supported in the last […]
New highs in Treasuries?
Option expiration in Treasuries and equities likely contributed to today’s trade. Although, it is difficult to say whether it capped what could have potentially been a much larger rally in bonds and notes, or it actually held prices stable. Our gut tells us that it is the former. Gold and silver rallied sharply as flight […]
Trading Sideways Markets
Markets do not need to trend higher or lower to trade if you trade both from the long and short side. Inside day in Crude oil as prices should close down approximately 1.50%. As we said yesterday prices could go either way; a trade below $96 would likely signal lower ground and a trade above […]
Live Cattle Market Bears in Technical Command
June live cattle futures on the Chicago Mercantile Exchange on Tuesday gapped lower on the daily bar chart and hit a fresh five-month low of $106.67 a hundredweight. Prices did manage to recover a bit by the close Tuesday and finished moderately lower and nearer the daily high. Price action this week has seen a […]
What does dollar down Equal
Is a 4.5% rally in the dollar index all we get…we think so? Look at the charts, the last three times July Crude futures have tried to violate the $96 level selling has been rejected…should we read into this? With prices approaching over sold levels we have longs on our radar but my suggestion would […]
July Corn Recovers, But Bulls Have More Work
July corn futures at the Chicago Board of Trade on Monday morning were seeing a strong rebound from recent selling pressure that last week drove prices to a two-month low of $6.59 a bushel. Short covering and some bargain-hunting buying were featured. While the bulls on Monday have regained some fresh upside near-term technical momentum, […]
I’d rather be Lucky than Good
As a trader I would not consider myself too superstitious but on a day like Friday the 13th I’d rather be lucky than good. Wild trade activity in Crude again today but we still have not been able to re-take the 100 day MA; in July at $101.40. We remain mildly bullish with a short […]