Category: Commodities Trading
The analysis published under this category are as follows.Wednesday, January 18, 2012
Copper Rallies in Response to China Data / Commodities / Commodities Trading
Today's strength in the risk-on markets in general and in the industrial commodity markets in particular likely reflects a collective sigh of relief that China Q4 growth came in a touch better than expected -- at 8.9% versus 8.7%.
This has triggered some short-covering and perhaps optimistic new buying interest ahead of renewed optimism about forthcoming China economic stimulus, as noted in the charts on copper, silver, and oil.
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Tuesday, January 17, 2012
What the Next Decade Holds for Commodities / Commodities / Commodities Trading
What a decade! A rapidly urbanizing global population driven by tremendous growth in emerging markets has sent commodities on quite a run over the past 10 years. If you annualized the returns since 2002, you find that all 14 commodities are in positive territory.
A precious metal was the best performer but it's probably not the one you were thinking of. With an impressive 20 percent annualized return, silver is king of the commodity space over the past decade with gold (19 percent annualized) and copper (18 percent annualized) following closely behind.
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Monday, January 09, 2012
Euro Hits New Lows, Swiss Franc Bounces: What does it means for Gold and Silver? / Commodities / Commodities Trading
Commodities In Characteristic Selloff
Once again at the end of 2011 we heard the voices of negation sounding the fear of the bursting of the commodities bubble. The naysayers come out with their Cassandra calls whenever commodities go into a characteristic and salubrious selloff. They never really learn to respect the importance of gold (GLD) and silver's (SLV) role in the long range secular multiyear ongoing rise.
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Thursday, January 05, 2012
Wild Gyrations in Gold and Commodities / Commodities / Commodities Trading
If traders in the commodities markets were to check into a Psyche ward, the files would no doubt read "Bi-Polar" or Schizophrenic." This is so, because commodity traders have a habit of fixating on a set of data one day, and then quickly forgetting about the data the very next day, and re-focusing on something else. Market sentiment often turns on a dime, and without notice. This shifting of sentiment in commodity futures is nothing new, of course. That's why for decades, dabbling in commodities was considered too risky for most investors, since sentiment, by definition, is unpredictable and impossible to measure.
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Wednesday, December 21, 2011
Commodity Traders How to Identify and Use Support and Resistance Levels / InvestorEducation / Commodities Trading
Since 1999, Elliott Wave International senior analyst and trading instructor Jeffrey Kennedy has produced dozens of Trader's Classroom lessons exclusively for his subscribers. While commodity markets are known as some of the toughest trading environments around, these actionable lessons from a skilled veteran can help you trade commodities, or any market for that matter, with more confidence.
Enjoy this excerpt from Elliott Wave International's free Club EWI resource, the 32-page Commodity Trader's Classroom.
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Friday, December 16, 2011
U.S. Dollar Crushes Commodities / Commodities / Commodities Trading
The long-in-the-tooth commodities correction plunged to new lows this week. Traders were disappointed the Fed didn’t announce a new quantitative-easing campaign, so they dumped the popular commodities with a vengeance. But realize the primary driver of the recent commodities weakness is not the Fed, but a strengthening US dollar. The coming commodities price action heavily depends on its fortunes.
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Monday, October 31, 2011
Beef Bull Market / Commodities / Commodities Trading
Have been visiting myfavorite unknown, small, near-hidden grocer more often recently. Reason for that is their steaks are both good, a rarity in this modern world, and reasonably priced relative to others. Another reason for doing so is in part to eat beef now, while it remains affordable.
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Tuesday, October 25, 2011
Commodities Snapshot: Oversold For Now, Dollar Holds The Key / Commodities / Commodities Trading
Below are trading range charts for 10 major commodities from the Bespoke Group. All 10 commodities are currently at or below the bottom of their trading ranges, which would suggest at the moment, a good opportunity to get in at oversold levels for investors looking to gain long-term exposure.
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Monday, October 24, 2011
How to Trade Gold and Oil Prices This Coming Week / Commodities / Commodities Trading
How To Trade Gold & Oil – The past couple weeks have been tough for most investors. The recent light volume rallies which have taken place in gold, oil and stocks has been generating mixed signals for technical analysts like myself. In order avoid a large draw down on your trading capital you must focus on the long term intraday charts.
What is a long term intraday chart you ask? It is simply a 4 or 8 hour candlestick or bar chart. For example the charts below in this report are 4 hour charts. So each candlestick represents 4 hours.
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Thursday, October 20, 2011
Commodity Forecasts, Video Analysis and Trading Lessons / Commodities / Commodities Trading
Greetings,
Elliott Wave International has just announced the beginning of their popular commodity FreeWeek event, where non-subscribers can test-drive some of their most popular premium services.
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Wednesday, October 19, 2011
Who’s Right About Commodities: Bears or Bulls? / Commodities / Commodities Trading
Marin Katusa, Casey Research writes: In the last few weeks a slow slide in commodity prices – metals in particular – has turned into a full-scale nosedive.
All through 2011 copper had remained essentially between US$4 and $4.50 a pound, but on September 11 it dropped below that range and didn’t really stop falling until October 4, when it bottomed at $3.05. Aluminum gained ground in the first half of the year to reach $1.24 per lb. in April, but after losing 10% in the last 30 days it is back below that, at $0.96. The spot price of nickel lost 19% in the last month; zinc prices fell 17%. Precious metals were not spared either: The price of silver shed a whopping 33% in 30 days, while gold is currently down 15% compared to its price on September 6.
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Tuesday, October 18, 2011
Developing Economies Driving Commodities Super-Cycle / Commodities / Commodities Trading
The Reuter's CRB index reached record levels in 2010 - why?
- Raw materials shortages
- Infrastructure constraints
- Resource nationalism
- Emerging market demand
- Technological innovation
- Speculation
- Intense weather pattern changes
Wednesday, October 12, 2011
Illusions versus Reality in the Copper Market Commodities Crash / Commodities / Commodities Trading
“You unlock this door with the key of imagination. Beyond it is another dimension, a dimension of sound, a dimension of sight, a dimension of mind. You’re moving into a land of both shadow and substance, of things and ideas. It’s a journey into a wondrous land, whose boundaries are that of imagination. That’s a signpost up ahead, your next stop, the “Twilight Zone!”
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Saturday, October 01, 2011
Copper Lacking Buyers / Commodities / Commodities Trading
So far my target window for a significant low in nearby copper prices in the 3.10-3.06 area is looking pretty accurate. That said, before we run out and load up on copper, it would behoove us to realize that despite holding right in my optimal target zone, the price structure has not yet been able to stage any sort of meaningful rally.
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Monday, September 12, 2011
Why A Rise In The Dollar Could Be Bullish For Commodities? / Commodities / Commodities Trading
Deflationary Repeat of 2008?There is fear in the land. Many are asking where do we go should a deflationary repeat of 2008 be in the cards. Again the response to such an event may be an initial decline in all holdings across the board. The market roller coaster takes us down, but if we keep our eyes open at exactly the same moment we see a sudden rise directly ahead in our chosen sectors.
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Friday, August 26, 2011
Carbon Emissions Trading, Rebound From Dual Fibonacci Support / Commodities / Commodities Trading
The sharp price reversal in EUA Carbon Emissions from the May high sidelined earlier bulls. Finally interesting support has emerged from two adjacent Fibo levels, prompting a bounce.
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Friday, August 19, 2011
Copper Back at Pivotal Support Area / Commodities / Commodities Trading
The May/Jul recovery in Copper prices, from earlier Fibonacci support, stopped short of the Feb high and, now, the recent quick reversal has seen the market return to key supports on the daily and longer term charts.
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Friday, July 29, 2011
Are You Brave Enough to Invest in Cotton? / Commodities / Commodities Trading
Although Barclays Capital (NYSE:BCS) released a report recently that inflows into commodity markets fell sharply as the first half of 2011 ended, commodities in general have shown strength. However, cotton has fallen far from its 2011 peak. Shares in The iPath DJ UBS Cotton ETN (NYSE:BAL) now trades around $64, after reaching a 52-week of $117.33 in March of this year. Can cotton rebound from these levels?
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Tuesday, July 19, 2011
Gold and Commodities 2011 Halftime Report / Commodities / Commodities Trading
Commodities don’t all perform in the same way. In any given year, a particular commodity will go gangbusters and outperform the group. However, that commodity will typically come back to Earth and underperform the following year or the year after that. This is why active management is important when investing in commodities. Active managers can benefit from rotating from winners to laggards or by investing in the companies which produce, farm or mine commodities most effectively.
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Thursday, July 07, 2011
Gold and Crude Oil Showing Signs of Strength and Higher Prices / Commodities / Commodities Trading
This has been an interesting year for both gold and oil. There has been wild price swings due to extreme political, economic and weather events round the globe making these commodities a little more difficult to trade than normal. That being said if we look at the charts it appears we could be at the beginning stages of another major rally in both stocks and commodities.
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