Another Shot At Bonds?

January 24, 2002
Dave Landry

Each evening we
focus on the most interesting aspects for the upcoming
trading day. The comments are based on observations of the
nightly updates of the Futures and Market Bias pages. They
are provided for educational purposes only and are not
intended to be direct trading advice. Also, keep in mind
that these remarks are made up to 12 hours in advance of the
markets opening. Therefore, overnight events may alter the
outcome of these observations.

Beans
(
SH2 |
Quote |
Chart |
News |
PowerRating) are now reversing from their first pullback (a deep one)
since their strong rally from life-of-contract lows. If this rally is for real,
they should continue their uptrend out of this pattern.

March bonds
(
USH2 |
Quote |
Chart |
News |
PowerRating) appear to be finding
support near 102. This action suggests that their cup and handle may remain
intact.

March heating oil
(
HOH2 |
Quote |
Chart |
News |
PowerRating), mentioned recently, continues to bounce from
what appears to be a longer-term triple bottom at life-of-contract lows. If this level continues to hold, it will suggests that a
longer-term bottom may be in place. If you are not a bottom fisher or a
longer-term player, wait for the first rally and pullback before considering an
entry.