Weekly Commodity Strategy Review 11/21/2014

Monday’s corn analysis for TraderPlanet couldn’t have been more timely. Our mechanical swing trading programs picked up the highs being made in the grains as a short selling opportunity that bore fruit right through yesterday’s exit. We discussed the Commitment of Traders report’s importance in determining resistance levels as defined by the commercial traders’ volume and execution prices.

Read, “Corn Rally Stalls Short of $4.”

Tuesday, we used our knowledge and the platform at Equities.com to debunk the viral cocoa shortage reports that appear to be making their way across social media. We actively trade this market and are closely following the agricultural revolution taking place in the Ivory Coast. The work being done to modernize this industry will drive prices lower as yields rise and political uncertainties subside.

Cocoa Shortage Fears Overblown

Finally, Thursday’s piece focused on the unbelievable strength in the stock market’s bounce since the October lows. We noted some sketchy behavior when the market fell which, we outlined in, “October Market Volatility Scared No One.” Had I been smart, I’d have paid more attention to my own research. As it is, I got caught short once I’d decided the market had bounced fare enough, fast enough. This rally seemed out of hand so, I started digging in. Of course none of this means a hill of beans if China is going continue surprising the markets with rate cuts.

S&P 500 Rallies .5% Per Day. Sustainable?

Remember that we offer a 30-day free trial to our discretionary Commitment of Traders nightly email.

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