Weekly Commodity Strategy Review

We focused on two main themes this week. First, we looked at selling the Euro currency for TraderPlanet and followed it right up with a look at the Dollar Index on Tuesday for Equities.com. Meanwhile, our main piece focused on the grain markets ahead of Tuesday’s USDA Acreage Report.

Whether looking at the Euro or the Dollar Index, it was quite clear that the recent pullback in the Dollar was nearing an end. Throw in some Greek uncertainty and the Dollar simply seems like the right place to be, even after Janet Yellen softened her tone at last week’s FOMC meeting.

It’s Time to Sell the Euro: Here’s Why

Continued Strength in the Dollar Index

Moving to the grain markets, we followed David Hightower’s analysis with a look at the commercial traders’ actions in the corn, bean and bean byproduct markets. Their actions are typically ahead of the curve. We plotted their trades in the soybean meal and soybean oil over the last year and the results were remarkable, winning 13/14 trades. We also took a step back to see what effect their actions can mean to the grain markets near their lows.

Commitment of Traders Report Ahead of USDA Acreage


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