Archive | April, 2013

US Dollar Index has Greenback in the Red

The Greenback is looking increasingly weak. I tell you this not as a recommendation to get short the dollar, but as a cue to look for bullish exposure in inversely correlated markets. Looking at a weekly chart, 84.00 is clearly the line in the sand. This level once acted as support (in 2010), and has […]

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Ags on the Move, Breaching Trend Lines

Having been a proponent of bullish grain plays for several weeks now, I’m happy to see new crop wheat and corn on the verge of breaking above significant down trend lines. These have acted as resistance for two quarters, so a break above should produce a meaningful move higher. Wheat prices appear to be forming […]

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The Option Queen Letter

The airs is full of talk of sequestration and the resulting furloughs of air traffic controllers. Naturally this mess was quickly cleaned up when our elected officials needed to avail themselves of the flights. Now there is more to this than meets the eye, of course. How much of the delay was due to sequestration […]

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Japanese Yen Contrarian Play

The Yen’s 8-month clobbering is no secret. It’s down over 20%! But what’s interesting now, in my eyes, is how the Yen seems unable to trade below parity with the dollar. Recent data out of Japan shows inflation expectations are on the rise, so why not see a bounce in Japan’s currency after such a […]

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Risk is Back on Trade of Crude Oil

Crude oil had been a one-sided trade since the start of April until the last few days, falling $12/barrel high to low. Bolstered by sellers who have called the commodity bull market dead, oil got dragged lower and struggled to find its footing until recently. But wait… fast-forward to this week… not only has crude […]

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Corn Crops; When are Delays a good thing?

New crop corn is slow to get in the ground this year. That could mean higher prices, in my eyes. US corn planting is only at 4% according to this week’s crop progress report. This came in at the low end of expectations of 4-6%. It gets worse – the average planting progress from this […]

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Rising Temperature falling Prices in Natural Gas

Natural gas has been one of the best performing commodities in recent months for the bulls with prices appreciating by 33% off their lows in mid-February bouncing from $3.30 and making its way last week north of $4.40. This lifts prices to their highest level since July of 2011. Coincidence or not in 2011 from […]

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Is the rally in the US equity market over?

Is the rally in the US equity market over? We think not. There are few reasons why we remain more positive than negative on the US equity markets. One of the reasons is, where else can money go to earn a decent return without the worry of a currency blow up or country freeze on […]

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Caffeine does a Portfolio Good

Coffee price are now off their May 2011 highs by 55% and just 26% above the lowest price we’ve seen in the past five years. Futures are trading just a dime or so above a key pivot point, at $125.00 (lower red line).  Here’s how to add coffee to your portfolio. After consolidating in a […]

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