Wheat
Andreas.
Thanks for feedback. Momentum is indeed picking up. Interestingly, OI was also up yesterday (a down day!). It becomes increasingly tempting to try a long position risking 9 (stop - 347.5) but a lot of upside (target > 400) if WZ3 can break through the falling window near 366.
Let's wait another day. Grains & Softs currently seem to be very correlated to USD (eg neg corr).
Andreas.
Thanks for feedback. Momentum is indeed picking up. Interestingly, OI was also up yesterday (a down day!). It becomes increasingly tempting to try a long position risking 9 (stop - 347.5) but a lot of upside (target > 400) if WZ3 can break through the falling window near 366.
Let's wait another day. Grains & Softs currently seem to be very correlated to USD (eg neg corr).
Attachments
Toad,
Any upward move has to be analyzed critically. We might see a technical correction, due to short covering here. Or the uptrend resumes, which is often indicated by the front spreads (like WZ3/WH4) starting to go up as well. What you could try is a long with a tight stop under support at the 348 area. Might make it a reverse stop even. Just an idea, not a recommendation. It seems that the soybeans are also having a good day today.
Good trades !
Andreas
Any upward move has to be analyzed critically. We might see a technical correction, due to short covering here. Or the uptrend resumes, which is often indicated by the front spreads (like WZ3/WH4) starting to go up as well. What you could try is a long with a tight stop under support at the 348 area. Might make it a reverse stop even. Just an idea, not a recommendation. It seems that the soybeans are also having a good day today.
Good trades !
Andreas
Andreas,
thanks. I have been playing with idea. How has the spread moved in recent days? I see it's down to 9 1/4.
Pattern in Soybeans & cotton look a bit similar, gapping up for several days, and now stalling. If S doesn't go higher today, it will have made 5 days in row with lower highs! have you seen the Coffee chart? Collapsed when funds exited! Support at 6100-6000?
JP
thanks. I have been playing with idea. How has the spread moved in recent days? I see it's down to 9 1/4.
Pattern in Soybeans & cotton look a bit similar, gapping up for several days, and now stalling. If S doesn't go higher today, it will have made 5 days in row with lower highs! have you seen the Coffee chart? Collapsed when funds exited! Support at 6100-6000?
JP
Attachments
Toad,
The wheat front spreads have been pretty tame the last few months. Basically an indication that there is no major imbalance between supply and demand. It will not move very much lower because of the carrying charges.
Nice coffee chart ! Yes, that break was quite spectacular, but well that's coffee. Volatile stuff. Seems that it found support on the lower boundary of that channel it was moving in the past few months.
The soybean rally seems to have run out of steam, and I expect some gaps to be filled soon.
Best regards,
Andreas
The wheat front spreads have been pretty tame the last few months. Basically an indication that there is no major imbalance between supply and demand. It will not move very much lower because of the carrying charges.
Nice coffee chart ! Yes, that break was quite spectacular, but well that's coffee. Volatile stuff. Seems that it found support on the lower boundary of that channel it was moving in the past few months.
The soybean rally seems to have run out of steam, and I expect some gaps to be filled soon.
Best regards,
Andreas
