Archive | agriculture

US Coffee futures

Weekly Coffee Perspective

Have we seen the lows? Janet Yellen (two weeks ago) tried to calm down the markets saying that she and most of the FOMC expect a liftoff in 2015, but the growth revision of the Chinese GDP and Friday’s US job number have made investors skeptical about a rate hike this year still. The change […]

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Soybean futures chart for Ags

A Break Lower in Ags

Four out of the last five days corn futures have lost ground giving up nearly 40 cents after failing at their highs near $5.20/bushel in the July contract. Today the 50 day MA (blue line) was breached for the first time since late January. Future settled just below their 38.2% Fibonacci level . Though the […]

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Cotton Futures chart for April 9, 2014

Blue Light Special in Aisle 4 (Cotton)

Cotton prices have grinded higher since the beginning of December as one can see by the chart below. In this time frame prices of July futures have appreciated approximately 17% lifting trade to their highest levels in 27 months near 97 cents/lb. This likely has something to do with the most recent US cotton harvest […]

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Cotton Futures

Cotton – China’s Appetite Should be Absent

Since establishing a bottom on 11/22 cotton prices have appreciated 14% yesterday trading to their highest levels since 8/20. While past performance is not indicative of future results you can clearly see a pattern on the chart below that prices in the high 80’s appears to be unsustainable? I am operating under the influence that […]

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Sugar Futures chart for January 16, 2014

Four Soft Commodities – The Forgotten Sector

I track and follow approximately 50 different commodities and I must say that the softs sector where I do a fair bit of trading for clients is ignored too much in my opinion. In this piece I am going to briefly touch on four soft commodities that I track and trade with clients. Below you […]

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Soybean oil futures chart for January 9, 2013

Picking a Bottom in Ags – Soybean oil

The story for months has been slack demand for Agriculture and increasing global production. Hence wheat currently trading under three year lows and corn trading under 2 year lows. Soybean oil has not escaped the black cloud that has been hanging over this sector either as seen on chart below clearly there has been a […]

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Coffee Futures chart of January 3, 2014

Coffee Getting support from the Funds

As of this post coffee prices are higher by 4.44% with prices approaching previous resistance just below the 50 day MA (light blue line) that was challenged last week. Prices appear to be on the rise as money managers bought the dip this week when prices were trading near three weeks lows. I anticipate funds piling into coffee longs next week buying upwards of 10,000 contracts as they re-balance their positions at the […]

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Cotton Futures

Cotton – A Potential Sleeper

Since reaching a high just above 90 cents/lb. in mid-August cotton futures have been on a downward trajectory giving up nearly 15%. In the March contract futures have found a value zone just below 78 cents where futures currently sit. I am operating under the influence the current base being built over the last two […]

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Cattle, US drought, Indiana

Why Agricultural Commodities May Be A Good Investment

For investors in the United States, 2013 has been the year for buying stocks. So far, the Dow Jones Industrial Average is up a little over 22%, and prospects are that it will keep on rising at least through the end of the year. However, there are increasing noises from concerned investors about whether or […]

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Coffee Futures chart

Coffee is out of Favor…But

After two weeks of relentless pressure coffee futures have started to find their footing trading higher three out of the last four sessions. As of this post futures are higher by greater than 2.25%. Let’s see if bulls can hold onto these gains? In just four sessions March has advanced a nickel off the seven […]

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