Comments for Thursday, April 1, 2010
Looking Ahead to Today by Reflecting Back at Wednesday’s Price Action
METALS:
Higher closes yesterday for gold, silver, platinum but lower for copper. Copper settled slightly lower now in a small BULL PENNANT looking very strong overall. Gold is still trading sideways overall since early last December while silver closed over 1750 basis the May contract for only the second time since the middle of January giving me a BUY SIGNAL this time. Platinum made a new CONTRACT HIGH AND CLOSE. BUY SIGNALS FOR COPPER, SILVER AND PLATINUM. SELL SIGNAL FOR GOLD. CALL FOR DETAILS!
MEATS:
Higher closes Wednesday for live and feeder cattle but lower for lean hogs and pork bellies. The cattle now act like they will test their highs closing up for the third trading session in a row but still feel a little heavy at this time. However, if probably is just in retracement action. The feeders, on the other hand, exploded to a new contract high and close while the hogs made a new contract high before settling lower in reversal type action. The feeders continue to hold up the best in the beef complex helped by falling corn prices. The June hog contract still has major gaps below and has filled over 90% of their gaps throughout history. My sell signal has now been removed when a new contract high was made. Bellies closed lower but still are in an uptrend with the rest of the meats. BUY SIGNALS FOR LIVE AND FEEDER CATTLE. CALL FOR DETAILS!
Read the balance of my morning comments, including the Metals, Softs, Energies and Grains, at my website. For my complete coverage, visit my commentary page at www.markethead.com.
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. If you would like a free booklet explaining the charts mentioned above, email Rick at ralexander@zaner.com.
The information in this Report and the opinions expressed are subject to change without notice. Neither the information nor any opinion expressed constitutes a solicitation by Rick Alexander or the Zaner Group of the purchase or sale of any futures or options. Futures and options trading is speculative in nature and involves risks. Spread trading is not necessarily less risky than outright positions. Futures and options trading is not suitable for all investors.
Just released! Leveraged ETF PowerRatings ranks Leveraged ETFs on a high probability 1-10 ratings scale. Click here to get your free trial now.