What’s Up, What’s Down: Spotlight on Meats
Comments for September 23, 2011
Looking ahead to Friday by reflecting back on Thursday’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
HAS SUPPORT FOR CATTLE ERODED?
MEATS: 9/23/11 CATTLE ON FEED Sharply lower for the live and feeder cattle along with lean hogs. The December contract shows lower highs and lows for cattle since July 18th and now is at a lower end of a support area. The November feeder contract settled down the daily 300 point limit and what looks bad for the market is that corn has been falling down sharply lately but still the feeders have been tumbling. Normally, lower feed costs are bullish for the feeders. Now, what this tells me is that demand is down and prices are too high! Also, the hogs continue to look lower overall definitely hurt by todays action. Hogs looked like they were attempting fo form a bottom but that now looks wiped out to me. while now attempting to possibly form a bottom. The only savings grace is that the December contract is in a support area at this time.SELL SIGNALS FOR LIVE AND FEEDER CATTLE ALONG WITH LEAN HOGS. CALL FOR DETAILS!
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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.