Grains’ bounce healthy

FOR FRIDAY: (7/13) Grains’ bounce was healthy but not thinking that it will last very long and it should be easy to get pattern completions to 338 on Dec. corn and 817-20 on Nov. beans if we are patient. Use rallies to hedge.Continue reading

Reversal coming next week

FOR THURSDAY: (7/12) Watching overnight carefully but inclined to think that stocks will be higher and not done until 2820 comes on the S & P. Metals look lower for a few more days and oil should be done within a day. Reversal coming next week but not sure why.Continue reading

S & P could break 30 points

FOR TUESDAY: (7/10) Stock traders are on steroids now so don’t be surprised if they just run things up for fun because there is no other game in town. Can’t ignore technical breakouts and the look of charts. S & P could break 30 points but if it comes from 2820, it won’t mean much. Summer fun is here!

SEPT. E-MINI S & P 500
TRADING RECOMMENDATION: Wait for morning comments.
S & P ANALYSIS FOR TUESDAY: (7/10) Hard to imagine the S & P running much through 2798-2800 quickly but if it does, then 2820 will come in more quickly than we’ve imagined. One pattern projects a 30-point correction before higher prices but it seems more likely to come on Wednesday. Cycles are still positive with the cycle inversion over the next few days pointing higher. We’ll assume positive movement until at least July 18. Watching 7597 on NQ futures as a potential July target.
CYCLE SYNTHESIS: Topping Tuesday then 30-point pullback; higher Thursday; generally higher into July 18.

Erratic grains difficult to play

FOR TUESDAY: (7/10) Grains are erratic and difficult to play for specs but if we get bounces, we have to hedge. Cattle should recover now also and hogs need another new low before it may be safe to buy.Continue reading

Cycles point lower for Sunday/Monday

FOR MONDAY: (7/9) Lately, we get Chinese surprises over the weekend and if retaliatory efforts are worse than expected, the market could tank sharply on Sunday. Cycles suggest as much for Sunday/Monday. We have a number of turns due over the weekend or at the latest into Tuesday/Wednesday for financials so will see what develops.Continue reading

Cycles suggest higher grain prices into Tuesday

FOR MONDAY: (7/9) Lately, weekends have yielded more severe China saber-rattling so that is the problem but cycles suggest higher prices into Tuesday and we can buy pullbacks for a few days on grains for scalpers and bulls but would use rallies to hedge. Seasonally, if we get recoveries into the 2nd week of July, the trade often comes off.Continue reading

Cycles look positive for stocks

FOR FRIDAY: (7/6) Very difficult day to trade. Cycles look positive for stocks but will the trade fade any news? We continue to go with price and pattern and we’re more inclined to expect a downside resolution for stocks into the weekend. Market is currently bid on hopes for some China resolution–and if it comes, then the market may gallop and leave the bears in the dust.Continue reading

Likely cycle highs into July 10

FOR FRIDAY: (7/6) We have had a bias in cycles toward cycle highs into July 10 but the days after July 4th are always precarious, and cycles are particularly volatile. Weather forecast are warmer and drier but there appears to be enough soil moisture for a few week to prevent major damage. The verdict will still be out on beans with later pollination. With no overnight action to go on we won’t have a clear reaction for over a ½ hour. Given everything, we slight new lows in grains should be bought for buy the fact reaction to China and weather and cycles into Tuesday. Meat grinder action will have us waiting for confirmations and the dust to settle.Continue reading

S&P above 2720 isn’t great for the bears

FOR TUESDAY: (7/3) We have pre-holiday trading in thin conditions and while we understand patterns and cycles, it usually isn’t worth trading choppy action before the Friday employment report. Leave it alone and enjoy the holiday break. We can often get a lot of fake-out moves in these conditions and they seem exaggerated so we have to wait for volume to return. Continue reading