Tag Archives: Futures Trading

History suggests Iceland’s volcano could trigger major rally in futures.

Iceland has a history of volcano eruptions. Probably the most signifcant is the massive eruption of the Laki volcano in 1783 that lead to one of the greatest disasters in living history.   The Laki volcano eruption occurred in the June of 1783  killing  thousands and spreading a massive haze that covered most of Europe and parts of North… read more

Gold turns turns higher on projected reversal date! [chart]

Gold traded up to the ascending median line on April 12. From this high, Gold entered into a sharp decline and reached a low of $1124.00 on the projected reversal date of April 19. This is where Gold found support at the lower parallel line and 20- day SMA and closed at $1133.90, confirming the reversal… read more

Grain Calls

WHEAT – Down 1/2 to 1 cent per bushel. Profit-taking expected after the strong technical rally on Thursday. Plentiful supply of wheat continues to slow rallies. CORN – Down 1 to 2 cents per bushel. Outlooks for good U.S. corn planting weather through the weekend into next week weighing on corn futures in addition to… read more

Opening Grain Calls

WHEAT – Down 1 to 2 cents per bushel. Plentiful global supply of wheat weighs, in addition to pressure from a firm dollar. CORN – Down 1 to 2 cents per bushel. Firm dollar and good U.S. corn planting weather combine to weigh on market, in addition to profit-taking after Wednesday’s short-covering bounce. SOYBEANS –… read more

Bullish reaction swing portends new rally in Crude. [chart]

The International Energy Agency said that it expects world oil demand to average 86.6 million barrels per day (mbd) in 2010, slightly more than the previous record high of 86.5 mbd in 2007. Crude zoomed through the ascending median line and closed above the prior swing high of 85.43 on April 6th. From this new… read more

Coffee turned lower by the up-sloping median line. [chart]

This chart, of the May Coffee, is a good illustration of the significance of the median (center) line. The line acts as dynamic resistance as the market trends higher. Coffee tested the median line three times during the cycle and failed after the fourth test on April 5. The swing pattern failure signaled an end to the upward trend and triggered… read more

Grains calls

WHEAT – Up 1/2 to 1 cent per bushel. Follow-through technical buying after Monday’s firm close. Wheat market was oversold and due for a bounce but bullish momentum lacking amid plentiful supplies. CORN – Down 1 to 2 cents per bushel. Forecasts for good U.S. corn planting weather this week weighs on market countering some… read more

Crude oil is setting up for the next swing higher. [chart]

Crude zoomed through the ascending median line and closed above the prior swing high of 85.43, posted on January 11, 2010. Having used its energy, Crude pulled back  to an area of support provided by two action-reaction lines and the 20- day sma. This price action has formed a bullish reaction swing, above the median line,  and set up… read more

Opening Grain Calls

WHEAT – Up 3 to 5 cents per bushel. Weak dollar and short-covering after the declines on Friday lift wheat futures. CORN – Up 2 to 3 cents per bushel. Short-covering after the decline Friday and weak dollar combine to lift corn futures. Gains limited by improved U.S. seeding weather. Trade expecting USDA late on… read more