What’s Up, What’s Down: Spotlight on Grains
Comments for January 19, 2011
Looking ahead to Wednesday by reflecting back on Tuesday’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
WHEAT AND CORN HEADED HIGHER?
GRAINS: 1/19/11: Higher closes yesterday for rough rice, oats, corn, soyoil, Minneapolis, KC and Chicago wheat while lower for soybeans and soymeal. Although Chicago wheat has been basically in a sideways to higher mode since the beginning August it now appears to be heading towards a breakout to the upside where it’s very close to a buy signal. Once again Minneapolis and KC made their highest highs and closes since August 2008 leading the grain complex. Oats settled higher again making a new CONTRACT HIGH AND CLOSE acting like it will break out of its trading range roughly between 350 and 400 basis the March contract. The oats have traded over 400 four different trading days but not settled over it as of yet. Rice had a strong close (best in 2 weeks) forcing me to take away my sell signal while now actually close to a buy. Corn made a new CONTRACT HIGH AND CLOSE continuing to move higher with basically minor retracements along the way. Beans and meal closed lower and oil higher but all are in strong uptrends overall. BUY SIGNALS FOR CORN, SOYBEANS, SOYMEAL, SOYOIL, MINNEAPOLIS AND KANSAS 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.