Double Play
Economic reports are coming in weak for a second day.
Yesterday’s Federal Reserve anecdotal survey of regional economic
conditions, the Beige Book, came in negative and traders bid up T-bonds
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contract highs. Today’s multi-whammy of a five-year low in durable goods
orders, a 10-year high in weekly jobless claims, and an 11% plunge in sales
of existing homes, are all reinforcing what many have predicted would occur
in the aftermath of the 9/11 strikes: a slumping economy.
As pointed out in recent installments of the Nightly
Futures Report, T-bonds were bullish (rather than influenced by their
double tops) above the 106 21/32 — 24/32 area. T-bonds made it onto the Momentum-5
List and have made good on an Off The Blocks
entry and on an intraday pullback from high setups today.
November soybeans
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they will come off their double bottom and retrace into the 10/12 gap.
A target (and resistance) resides at 444.
Making good on a Turtle Soup Plus One Buy signal for
a third straight day, soy meal
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its range, up 1.1 at 159.3. Notice that it is primed for a
larger-than-normal move after registering on the Multiple Days Low
Volatility List.