The soy has come under pressure of late. There are a few reasons for this in my opinion. The Chinese have yet to buy US beans. This is bothering the trade. In addition concerns over the new virus outbreak. Last and perhaps the most plausible reason is that it appears the Brazilian crop will come in much larger than the …
Livestock Report
The April Lean Hogs contract continued its attack on the 200 DMA on the continuous chart. It also continued to fail against it. The 200 DMA is declining and is at 74.51. April Hogs traded from 74.90 high to 73.275 low and it settled at 74.525. It did settle above the key level at 74.25. Hogs are trying to anticipate …
Livestock Report
The April Lean Hogs contract consolidated within Thursday’s trading range forming an inside candlestick. Friday’s range was 74.50 high to 73.225 low with settlement at 74.10. It is trading below the 200 DMA (74.78) on the continuous chart and settlement was below the key level at 74.25. If price can break out above the high, a test of resistance at …
TREASURY BOND OPTION STRATEGY
TREASURY YIELDS SHOULD MOVE HIGHER AFTER THE TRADE DEAL WITH CHINA WAS COMPLETED, IN MY OPINION. LOOKING AT A LOW COST LOW RISK TRADE ENTRY POINT IN THE MARCH 30 YEAR TREASURY BOND LAST AT 158.04, THE YIELD IS NOW 2.26. THE 157.5/157/156.5 PUT FLY COST 3 64THS OR $46.875 TO ENTER plus commissions and fees.. TAKE PROFIT LEVELS ARE …
Livestock Report
The February Lean Hogs contract consolidated within Tuesday’s trading range forming an inside candlestick. The Hog market yawned Wednesday as the Phase 1 trade deal was signed by President Trump and Chinese Vice Premier Liu. With the details of the deal unknown, traders sat on the sidelines and the price action suffered. The range was 68.05 high to the …
Livestock Report
The February Lean Hogs contract opened at the session low (65.675) and soared. It traded up to the session high at 68.225 and pulled back, settling at 67.675. It was a nice rally trading past resistance at 66.55, the 100 DMA at 67.25 and a congruence of resistance at 67.80, the 8 (67.96) and 50 (67.96) DMAs on its …
Grain Spreads: KC/Chicago Wheat
KC wheat has steadily gained vs Chicago since early December tightenting over 30 cents and trading up to a .382 Fibonacci retracement from the early Dec 19 low (-98) from the June highs at (-9). See Chart. The near term high is 64.5 KC under basis March 20 futures. The spread was weak today with KC losing two cents vs …
Livestock Report
The February Lean Hogs contract opened below the 100 DMA (67.21) at 66.975 made the high at 67.05 and then broke down. It blew through support at 66.55 on its way to the session low at 65.575. This is just above the December 2nd low at 65.40. Hogs repeatedly attempted to pierce 65.575 but couldn’t do it and it …
Livestock Report
The February Lean Hogs contract consolidated within the Thursday range. It traded up to resistance at 67,89, making the high just above it at 68.225 and it made the low just below the 100 DMA (67.20) 66.875. It settled at 67.25. A failure from settlement could see price revisit support at 66.55 and then the December 2nd low at 65.40. …
Grain Spreads: Soybean Gameplan January 10th Crop Report
Spot soybeans saw 2019 close at 955.4. It finished the year up approximately 35 cents. Not much of a percentage gain but up nonetheless. Demand remained dismal amid the ongoing trade war with our biggest soy buyer China. To a lesser extent continuing feuds with Japan, the EU, and the constant delays with NAFTA 2.0 certainly didnt help. Any rallies …