FOR TUESDAY (8/7) Grains may be sideways before the USDA report on Thursday but with an upward bias and they are very oversold so we have to wait for better levels to sell. Corn could make a new high. We have a bias toward higher grains the next few days and the weaker than expected crop conditions report will have short-covering happening. Beans still have technically issued a sell signal as have weak but a larger retracement is coming and we are not going into the red after being in profits so often. Cattle looks higher much of this week.Continue reading
Stocks cycles still looking strong
FOR MONDAY: (8/6) Cycles this week should be filled with geopolitical surprises, potential earthquakes and war tensions but not sure the stock market will care but it could impact oil and the dollar. Stay on top of news this week.Continue reading
Cattle pointing down on Monday
FOR MONDAY: (8/6) Will warmer weather spook grains higher on Monday? Cycles suggest it could but it would be a bogus secondary high and should be followed by lower prices on Tuesday. Still, this market doesn’t want to go down despite an outlook for a record crop. Cattle may be down for a day and then we would scoop them up. Too tricky to play hogs but they still look lower for a few days.Continue reading
Gold could break to 1170
FOR FRIDAY: (8/3) Tim Cook saved the world with the APPLE stock buy back as APPLE became the first trillion-dollar company. The day was a bit of a game changer and cycle highs for stocks and a secondary high now suggest Tuesday and we have to see where it lands. That means gold could break to 1170 and silver to 1480 into the end of next week. Dollar close to a breakout but it does not go without cycles. War tensions with war games into the weekend is a bit disturbing and it will be hard to take stuff home as US tensions may also be intense.Continue reading
Beans issue a sell signal
FOR FRIDAY: (8/3) The 29-day cycle is usually weak for grains on Friday but without a deep break, we’ll be concerned about higher prices for Sunday/Monday. Wheat hasn’t finished upward patterns and corn hasn’t broken enough to discount 391.50. Sometimes the action is quiet before a weekend break. We may exit by the open of Sunday if the market can’t collapse on Friday.Continue reading
Continue to wait for pattern completion
FOR THURSDAY: (8/2) Not sure we missed much with FOMC. Statement was hawkish but markets weren’t too volatile and stayed within some key ranges we had seen earlier in the day. Some patterns weren’t completed to the downside, as was the case with gold and silver. Odd day. We’ll continue to wait for patterns to be completed.Continue reading
Doubt that corn will get to 391
FOR THURSDAY: (8/2) After the close, Trump gave a one-week extension to China on more tariffs and wondering if that will allow a bit of a relief rally for beans overnight. If we are to sell more beans overnight, we have to wait and see what develops. They just missed the major breakdown point of 897. Doubt that corn will get to 391 and wheat is its own weather market. Getting really tired of trade war news with China and its jerky connection to grains.Continue reading
One more new low on stocks
FOR WEDNESDAY: (8/1) Another FOMC day. Our cycle works points to a negative reaction for stocks but always a gamble as there are often surprises. Gold and silver may make divergent lows and set up buys and T-notes look higher into Friday even if we get a spike low first. One more new low on stocks Wednesday, might set up a 3 wave bounce on Thursday from oversold conditions.Continue reading
Upper targets complete on grains
FOR WEDNESDAY: (8/1) Cycles still point lower into the end of the week and upper targets are complete although corn would hit 391.50. We have three cycles that should turn this market weaker into the end of the week.Continue reading
Stocks should start short-covering
FOR TUESDAY: (7/31) Trade waiting on FOMC but should stocks should start short-covering here and sometimes you get 20-30 points on these short-covering moves. Still, buying is countertrend. Starting to work on set-ups for August but have to deal with first of the month craziness and knee-jerk reactions on Wednesday as well as profit-taking and positioning at the end July and first of August.Continue reading