Category: Commodities Trading
The analysis published under this category are as follows.Sunday, August 10, 2014
Week Ahead: Commodities Analysis - GLD, SLV, USO / Commodities / Commodities Trading
Precious metals markets have been showing strength as investors start to take profits in stocks (with prices still trading near record levels). This has helped move money into assets like the SPDR Gold Trust ETF (NYSE: GLD) and iShares Silver Trust ETF (NYSE: SLV), which continue to rebound from their yearly lows. Many of these rallies have been prompted by geopolitical concerns in Ukraine, Gaza, and Iraq.
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Monday, July 14, 2014
Commodities 2014 Halftime Report / Commodities / Commodities Trading
What a difference six months can make. After a disappointing 2013, the commodities market came roaring back full throttle, outperforming the S&P 500 Index by more than 4 percentage points and 10-year Treasury bonds by more than 6.Read full article... Read full article...
Friday, July 11, 2014
Commodities - Three Cheers for The Fear Trade! / Commodities / Commodities Trading
The long-anticipated summer rally for the precious metals (PM) sector gained strength this week even as the U.S. broad market stumbled. The recent plunge in small cap stocks isn't an unrelated phenomenon, however; it's one of the reasons behind the rally in the PM sector. In this commentary we'll examine the main drivers behind the latest push to multi-week highs for gold and silver.
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Thursday, July 03, 2014
How to Score in Trading the World's Key Commodity Markets / Commodities / Commodities Trading
If you've ever tried your hand at futures trading, and if you've been watching the 2014 World Cup, you've probably thought to yourself -- Yup. This looks like how it feels to invest in commodities.
Hey, if the cleat fits!
The world of commodities trading is competitive and cutthroat. The action is nonstop. Passes happen in the blink of an eye. There are no commercial breaks, or half times. And those on the field never stop paying attention to price charts, scanning and waiting for opportunity to strike.
And then comes the moment to act. You're the last guy in a penalty shootout. All that stands between you and the goal is the ticking of the clock, fatigue, and doubt.
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Wednesday, July 02, 2014
Commodity Bull Or Bear - The Long Term Perspective / Commodities / Commodities Trading
Many investors are uncertain whether we are in a commodity bull or bear market. Without a doubt, there are a lot of conflicting fundamentals regarding shortages and surpluses in soft commodities such as cocoa, coffee or wheat and corn. Then there are the metals such as copper, which had record high warehouse inventories only to see them draw down rapidly in a matter of months, likewise with aluminum and zinc. The only commodity that has remained positively stable for the last 5 years is crude oil. If you combine the individual commodity news with the general international consensus that deflation is the problem, it is hard to find a plausible reason to support a resumption of the commodity bull market. The only reason that comes to mind is the potential growth and demand from the new growth economies of the BRIC (Brazil-Russia-India-China) countries, but even that becomes difficult to quantify as each of those countries always seems to have their own economic problems that makes them difficult to analyze as a whole.
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Wednesday, June 04, 2014
Gold and Crude Oil Commodities Elliott Wave Analysis / Commodities / Commodities Trading
Gold broke to the downside last week, out of triangle pattern that was placed in wave (b) so current leg down should be wave (c) as part of D of a big triangle from a daily chart. We know that wave (c) is impulsive wave so we need to be aware of a bullish reversal after a five wave drop from wave e) swing high. In the last few sessions market slowed down around 1240-1245 so it's probably wave iv)so decline could extend down to 1230 by the end of the week.
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Tuesday, June 03, 2014
Gold and Wheat Commodity Futures Elliott Wave Analysis / Commodities / Commodities Trading
CPI in Euro zone came lower again which goes in favor of ECB reaction. I wanted to show you here one more option on GOLD in anticipation of a downside correction on US indices. We expect flat correction which means 5 waves down after 3-3 up. So same on GOLD is possible to the upside in attempt of investors to seek refuge from falling stock market. We need 5 waves up to confirm low signature.
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Monday, May 05, 2014
2014: Year of Commodities (May) / Commodities / Commodities Trading
Thus far in 2014, April ended on schedule and May arrived as expected. Well-placed sources, wishing to remain anonymous as they are not at liberty to speak on the matter, suggest that June will also arrive on time. That seems to sum up the only accurate components of the consensus forecast for 2014. As the chart below portrays, just about everything else continues to do the opposite of what was generally expected by the popular seers on the future.
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Tuesday, April 29, 2014
Gold and Crude Oil Elliott Wave Analysis / Commodities / Commodities Trading
On gold we are tracking a triangle placed in wave 4) for a while now. Well, we have been bearish recently within wave D from 1393 which could have bottomed now after a bounce in the past week from around 1265, after three legs down. Keep in mind that market is still sideways, and that we still need wave E retracement which is expected to unfold in the next few weeks. After wave E we will turn bearish for a decline beneath 2013 low.
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Tuesday, January 28, 2014
The Coming Economic Collapse Will Be Much Worse Than Most Realize / Commodities / Commodities Trading
Citizens of the U.S. and the world are heading into a future that few have prepared for. It will also turn out to be much worse than most realize as it will be unlike anything we have witnessed in the past.
Part of the reason we are in such a bad fix has to do with the compartmentalization and specialization of our modern educational and economic system. There are many intelligent people in the market doing smart things; however, they often have no clue on what the hell is going on in other industries or professions.
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Wednesday, January 22, 2014
Falling Commodities Prices Despite QE - What Does That Mean? / Commodities / Commodities Trading
During QE3, the latest round of the Fed's quantitative easing, the stock market rose. We all know that.
But did you also know that commodities fell?
That's right: QE3 had zero effect on commodities -- or maybe even a negative effect. In fact, an unbiased observer of the trend might conclude that the Fed drove commodity prices down.
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Wednesday, November 20, 2013
Don't Bet on China Sustaining the Commodity Super Cycle / Commodities / Commodities Trading
Justin Pugsley writes: China, the world's number one consumer of so many raw materials apparently looks set to carry on buying following bold reforms announced at the third plenum of the communist leadership. But it could be a long wait before they buoy commodity currencies if indeed they ever will.
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Wednesday, October 30, 2013
Elliott Wave Outlook For Crude Oil And Copper / Commodities / Commodities Trading
Crude oil is trading lower and based on latest decline through 100 mark and down 96.00 we suspect that larger picture on this market is changing. For now we will focus on current structure which is showing a completed wave B around 103.00 level followed by recent push lower with accelerating price action through 100 mark which we think it was wave (iii), so decline should then be made by five waves down. As such, we think that bounce from the low is just another correction within downtrend. We are talking about wave (iv) that is pointing lower for wave (v), towards 95, 94 zone.Read full article... Read full article...
Monday, October 07, 2013
Is Crude Oil Price Ready for Further Growth? What Impact on Gold? / Commodities / Commodities Trading
One of the main events of recent days was the first U.S. government shutdown in 17 years. Light crude dropped to a new monthly low at $101.05 on concerns that this event would reduce demand for black gold in the world's largest oil consumer market. In the previous week, the yellow metal also declined and dropped below $1,300 an ounce. Despite this declines, on Wednesday, both commodities rebounded sharply supported by a weaker U.S. dollar as commodities priced in the greenback became less expensive for holders of other currencies. Additionally, in the second half of the previous week we saw similar price action in both cases.
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Tuesday, September 24, 2013
Gold and Oil: Which Has a Better Upside Potential? / Commodities / Commodities Trading
Last week, after the Fed said it would stick to its stimulus plan for now, the yellow metal gained more than 4%, leading the rally in commodities, and rose to a new one-week high. At the same time crude oil extended earlier increases and finally gained over 2% on Wednesday. However, during this euphoric rally, investors overlooked that it was fueled by a weaker economic outlook from the Fed. Therefore, the improvement didn't last long and we saw a quick profit-taking during the last two sessions of the week. In this way, gold gave back almost 60% of the previous sessions' gains and dropped to $1,325 an ounce on Friday. What's interesting, at the same time light crude has declined sharply, erased all September's gains and reached a new week low.
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Wednesday, September 18, 2013
Free "5-5-5" Learn Real Trading Event for Commodity Traders / InvestorEducation / Commodities Trading
You're invited to a free trading event, hosted by our friends at Elliott Wave International. Now through Tuesday, September 24, watch 5 videos by EWI Senior Commodities Analyst Jeffrey Kennedy. Each video will bring you a new, imminent trade setup as well as a lesson from Jeffrey on how to find new trades of your own. This is where education meets opportunity! Join EWI's free commodity trading event now >>
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Friday, August 30, 2013
Jim Rogers Agrees Crude Oil and Gold Will Go Much Higher / Commodities / Commodities Trading
Diane Alter writes: Legendary commodity investor Jim Rogers sees some serious problems stemming from the situation in Syria and the end of the U.S. Federal Reserve's generous flow of money.
In an interview with Reuters on Tuesday, Rogers said "oil and gold will go much, much higher" due to a "market panic."
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Wednesday, July 24, 2013
China Demand Not Behind Commodities Boom? / Commodities / Commodities Trading
There’s no denying China’s massive economic growth over the past decade, as the country recorded an average GDP of more than 10 percent per year. In only seven years, China’s economy doubled; in 13 years, it tripled.
With this incredible expansion, China began to import commodities at an incredible pace. In 2000, the country imported only 70 million tons of iron ore; today, it’s more than 10 times that amount, at 763 million tons. Copper imports increased dramatically too, growing from 1.6 million tons in 2000 to more than 4 million tons per year today, according to BCA Research data.
Tuesday, July 16, 2013
Commodities 2013 Halftime Report: A Time to Mine for Opportunity? / Commodities / Commodities Trading
It was a challenging first half of the year for most commodities, with only two resources we track on our Periodic Table of Commodities Returns rising in value. Natural gas and oil rose 6.5 percent and 5 percent, respectively, while silver lost a third of its value and gold lost a quarter of its price from the beginning of the year.
At first glance, the correction seems to support naysayers who believe the supercycle in commodities has ended, such as Credit Suisse analysts, who had declared that the “era is over,” in its digital magazine, The Financialist.
Monday, July 15, 2013
Is the Inflationary Phase Finally Here? / Commodities / Commodities Trading
Last year I correctly spotted the three year cycle low in the CRB. I must admit the retest of that bottom has taken much longer and been far deeper than I thought it would be. However, I think the retest is over. It looks like the CRB has put in its final yearly cycle low for 2013, and that low has held above the 2012 trough.
As I have noted in the chart below, we did see a positive divergence at this year's bottom as the dollar made a marginal new high but commodities failed to confirm that new high by breaking their 2012 three year cycle low.
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