What’s Up, What’s Down: Spotlight on Grains
Comments for January 27, 2011
Looking ahead to Thursday by reflecting back on Wednesday’s trading
Futures and options trading is speculative in nature and involves substantial risk of loss. Futures and options trading is not suitable for all investors
LOOK AT THE HIGHS BEING PUT IN, IN THE WHEAT CONTRACTS
[Special Note: Cotton futures daily price limit will be expanded to 6 cents for Thursday, January 27, 2011]
GRAINS: 1/27/11: Higher closes yesterday for rough rice, oats, corn, soybeans, soyoil, soymeal, Minneapolis, KC and Chicago wheat. Minneapolis, KC and Chicago wheat continue to work higher with Minneapolis and KC making their highest highs and closes since August 2008. Once again while Chicago had its highest high since August 6th while making a new CONTRACT HIGH CLOSE once again. Oats also settled higher again but still in roughly a trading range between 375 and 400 (March) since around Dec. 9th and between 350 and 400 since the beginning a October. Oats have traded over 400 four different trading days but hasn’t settled over it. Rice had its best high and close since November 9th with a strong rally off its session’s lows continuing to act like its heading for contract highs. Corn made its second highest close of its move now in what looks like a BULL PENNANT causing me to reinstate my BUY SIGNAL. The bean complex settled higher and, while its been in a mild retracement lately, their longterm uptrends remain strong overall. BUY SIGNALS FOR CORN, SOYBEANS, SOYMEAL, SOYOIL, MINNEAPOLIS, KANSAS AND CHICAGO CITY WHEAT. CALL FOR DETAILS!
Rick Alexander has been a broker and analyst in the futures business for over thirty years. He is a Vice-President for Sales and Trading at the Zaner Group (www.zaner.com) a Chicago-based futures brokerage firm. Email Rick at ralexander@zaner.com or call toll-free (888) 281-4158.
Futures and options trading is speculative in nature and involves substantial risk of loss. Futures and options trading is not suitable for all investors. The information in this Report and the opinions expressed are subject to change without notice. All known news and events have already been factored into the price of the underlying commodities discussed.