Pork Taking Flight
Pork contracts are accelerating as they rally to new highs.
August lean hogs
(
LHQ1 |
Quote |
Chart |
News |
PowerRating) are the leading contract on the Momentum-5
List and are taking off as they rally to new intraday and contract highs,
now up .875 at 67.700.Â
August pork bellies
(
PBQ1 |
Quote |
Chart |
News |
PowerRating) are also trading
on their highs of the session and in an outside-day formation. This morning’s Pre-Opening
Agriculture Outlook pointed out that yesterday’s Commitment of Traders
report is in a “classic bullish set-up,” although a bit overbought.
Bellies are also on the Momentum-5 List.
July sugar
(
SBN1 |
Quote |
Chart |
News |
PowerRating) hit a New 10-Day
High yesterday and is continuing higher today after testing yesterday’s low.
This leaves a bullish tail at a new 15-day high. This contract also remains in a
Multiple Days Low
Volatility
setup after the early June consolidation, suggesting the likelihood of a
larger-than-normal move.Â
Coffee
(
KCN1 |
Quote |
Chart |
News |
PowerRating)Â is giving back all of
the gains from the past six days’, rally triggering a Pullback From Lows
setup.Â
Both euro FX futures
(
ECU1 |
Quote |
Chart |
News |
PowerRating) and
Swiss francs
(
SFU1 |
Quote |
Chart |
News |
PowerRating) gapped below Pullback From Lows
setups, tested yesterday’s lows and are trading near the bottom of their ranges.
A close below the mid-point of the June 14 expansion bars resumes the argument
for the test of a new lows. Reports came out yesterday showing Europe had its
biggest up tick in inflation in months. Today, European data shows that
manufacturing declined for a second straight month, highlighting a situation of
slowing economic growth and rising prices, an environment that reduces the
likelihood of further ECB rate cuts in short-term interest rates, a negative for
continental currencies.Â
September dollar index futures
(
DXU1 |
Quote |
Chart |
News |
PowerRating) are
higher for a second day out of a Pullback From Highs
setup. DXM is trading at the top of its range.Â