Daily Morning Report

Wednesday, June 9–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed and mostly flat in overnight trading. U.S. stock indexes are pointed toward narrowly mixed openings when the New York day session begins. The global marketplace is calm at present, amid no major geopolitical flareups in play.

In overnight news, China reported a big jump in price inflation Wednesday, with its producer price index rising 9% in May, year-on-year, after a surge of 6.8% in April. China’s consumer price index was tamer, with a May reading of up 1.3%, year-on-year.

Traders are awaiting the U.S. economic data point of the week, which will be Thursday morning’s consumer price index report for May, which is expected to come in at up 0.5% from April and up 4.7%, year-on-year. Traders and investors continue their buzz regarding the prospects for inflation to heat up to uncomfortable levels in the coming months. Rising raw commodity prices the past few months are an ominous sign that inflation could become problematic.

Meantime, the European Central Bank holds its regular monetary policy meeting on Thursday.

The key outside markets today see the U.S. dollar index slightly lower. Nymex crude oil prices are slightly up and trading around $70.25 a barrel after hitting a 2.5-year high of $70.62 overnight. Meantime, the yield on the benchmark 10-year U.S. Treasury note is presently fetching around 1.514%.

U.S. economic data due for release Wednesday includes the weekly MBA mortgage applications survey, and the weekly DOE liquid energy stocks report.

–Jim

U.S. STOCK INDEXES

September S&P 500 e-mini futures: Prices are slightly up in early U.S. trading and very close to the recent record high. Bulls have the solid overall near-term technical advantage. The shorter-term moving averages (4-, 9- and 18-day) are  bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are neutral to bullish early today. Today, shorter-term technical resistance comes in at the contract high of 4,228.25 and then at 4,250.00. Buy stops likely reside just above those levels. Downside support for active traders is seen at 4,180.00 and then at last week low of 4,155.50. Sell stops likely reside below those levels. Wyckoff’s Intra-day Market Rating: 5.5

September Nasdaq index futures: Prices are firmer in early U.S. trading. Shorter-term moving averages (4- 9-and 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day average is above the 18-day. Short-term oscillators (RSI, slow stochastics) are neutral to bullish early today. Shorter-term technical resistance is seen at this week’s high of 13,906.00 and then at 14,000.00. Buy stops likely reside just above those levels. On the downside, shorter-term support is seen at Tuesday’s low of 13,733.00 and then at this week’s low of 13,685.00. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 6.0.

U.S. TREASURY BONDS AND NOTES FUTURES

September U.S. T-Bonds: Prices are higher and hit a more-than-three-month high in early U.S. trading today. Bulls are slowing gaining power and have started a price uptrend on the daily chart. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are bullish early today. Shorter-term technical resistance is seen at the overnight high of 158 20/32 and then at 159 even. Buy stops likely reside just above those levels. Shorter-term support lies at the overnight low of 157 26/32 and then at this week’s low of 156 31/32. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 6.5

September U.S. T-Notes: Prices are higher and hit a more-than-three-month high in early U.S. trading. Bulls have momentum amid a price uptrend in place on the daily chart. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are bullish early today. Shorter-term resistance lies at 132.24.0 and then at 132.28.0. Buy stops likely reside just above those levels. Shorter-term technical support lies at the overnight low of 132.11.5 and then at this week’s low of 132.00.5. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 6.5

EURO CURRENCY

The September Euro currency futures are slightly higher in early U.S. trading. The shorter-term moving averages for the Euro are bearish early today, as the 4-day is below the 9-day and 18-day. The 9-day is below the 18-day moving average. Short-term oscillators for the Euro are neutral to bullish early today. The Euro currency finds shorter-term technical resistance at this week’s high of 1.2225 and then at 1.2250. Buy stops likely reside just above those levels. Shorter-term support is seen at this week’s low of 1.2168 and then at last week’s low of 1.2127. Sell stops likely reside just below those levels. Wyckoff’s Intra Day Market Rating: 5.5

NYMEX CRUDE OIL

Nymex crude oil prices are higher in early U.S. trading and hit a 2.5-year high overnight. Bulls have the solid overall near-term technical advantage. The shorter-term moving averages are bullish early today as the 4-day is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI and slow stochastics) are neutral to bullish early today. Look for buy stops to reside just above technical resistance at the overnight high of $70.62 and then at $71.00. Look for sell stops just below technical support at the overnight low of $69.95 and then at $69.00. Wyckoff’s Intra-Day Market Rating: 6.0

GRAINS

U.S. grain futures are lower in early U.S. pre-market trading. It’s a weather market in the grains. The extended weather forecasts for through at least late-June are still calling for warmer and mostly drier weather conditions in much of the U.S. midsection. Expect more high daily volatility in the grain futures markets this week. Thursday comes the monthly USDA supply and demand report.  

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission

(CFTC) has said about futures trading (and I agree 100%):

1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.

Jim Wyckoff

Tuesday, June 8–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed in quiet overnight trading. U.S. stock indexes are pointed toward narrowly mixed openings when the New York day session begins. Risk aversion in the marketplace is scant at present, amid no major geopolitical developments in play.

In overnight news, the Euro zone economy shrank by 0.3% in the first quarter of this year versus the fourth quarter of last year.

Traders are awaiting the U.S. economic data point of the week, which will be Thursday morning’s consumer price index report for May, which is expected to come in at up 0.5% from April and up 4.7%, year-on-year. Traders and investors continue their buzz regarding the prospects for inflation to heat up to uncomfortable levels in the coming months. Rising raw commodity prices the past few months are an ominous sign that inflation could become problematic.

The key outside markets today see the U.S. dollar index slightly higher. Nymex crude oil prices are weaker and trading around $68.75 a barrel after hitting a 2.5-year high of $70.00 on Monday. Meantime, the yield on the benchmark 10-year U.S. Treasury note is presently fetching around 1.553%.

U.S. economic data due for release Tuesday includes the weekly Johnson Redbook retail sales report, the NFIB small business index, the international trade report, and weekly chain store sales.

–Jim

U.S. STOCK INDEXES

September S&P 500 e-mini futures: Prices are near steady in early U.S. trading and very close to the recent record high. Bulls have the solid overall near-term technical advantage. The shorter-term moving averages (4-, 9- and 18-day) are  bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are neutral early today. Today, shorter-term technical resistance comes in at the contract high of 4,228.25 and then at 4,250.00. Buy stops likely reside just above those levels. Downside support for active traders is seen at 4,180.00 and then at last week low of 4,155.50. Sell stops likely reside below those levels. Wyckoff’s Intra-day Market Rating: 5.5

September Nasdaq index futures: Prices are firmer and hit a five-week high in early U.S. trading. Shorter-term moving averages (4- 9-and 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day average is above the 18-day. Short-term oscillators (RSI, slow stochastics) are neutral to bullish early today. Shorter-term technical resistance is seen at 13,900.00 and then at 14,000.00. Buy stops likely reside just above those levels. On the downside, shorter-term support is seen at Monday’s low of 13,685.00 and then at 13,600.00. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 6.0.

U.S. TREASURY BONDS AND NOTES FUTURES

September U.S. T-Bonds: Prices are firmer in early U.S. trading today. Bears have the overall near-term technical advantage. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are bullish early today. Shorter-term technical resistance is seen at Monday’s high of 157 25/32 and then at 158 even. Buy stops likely reside just above those levels. Shorter-term support lies at Monday’s low of 156 31/32 and then at 156 16/32. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.5

September U.S. T-Notes: Prices are higher and hit a four-week high in early U.S. trading. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bullish early today. Shorter-term resistance lies at the overnight high of 132.11.5 and then at 132.16.0. Buy stops likely reside just above those levels. Shorter-term technical support lies at Monday’s low of 132.00.5 and then at 131.26.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 6.0

EURO CURRENCY

The September Euro currency futures are slightly lower in early U.S. trading. The shorter-term moving averages for the Euro are neutral early today, as the 4-day is below the 9-day and 18-day. The 9-day is even with the 18-day moving average. Short-term oscillators for the Euro are bearish early today. The Euro currency finds shorter-term technical resistance at Monday’s high of 1.2225 and then at 1.2250. Buy stops likely reside just above those levels. Shorter-term support is seen at Monday’s low of 1.2168 and then at last week’s low of 1.2127. Sell stops likely reside just below those levels. Wyckoff’s Intra Day Market Rating: 4.5

NYMEX CRUDE OIL

Nymex crude oil prices are lower in early U.S. trading, on mild profit taking after hitting a 2.5-year high Monday. Bulls have the solid overall near-term technical advantage. The shorter-term moving averages are bullish early today as the 4-day is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI and slow stochastics) are bearish early today. Look for buy stops to reside just above technical resistance at the overnight high of $69.30 and then at Monday’s high of $70.00. Look for sell stops just below technical support at $68.00 and then at $67.50. Wyckoff’s Intra-Day Market Rating: 4.5

GRAINS

U.S. grain futures are solidly higher in early U.S. pre-market trading. It’s a nearly full-blown weather market in the grains. The extended weather forecasts for through at least late-June are calling for warmer and much drier weather conditions in much of the U.S. midsection. Expect more high daily volatility in the grain futures markets this week. Thursday comes the monthly USDA supply and demand report.  

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission

(CFTC) has said about futures trading (and I agree 100%):

1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.

Jim Wyckoff

Monday, June 7–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed overnight, with Asian shares mostly firmer and European shares flat. U.S. stock indexes are pointed toward narrowly mixed openings when the New York day session begins.

In overnight news, China’s May exports were up 27.9%, year-on-year, while its imports in May were up 51.1%. Those numbers were not far from market expectations, and reiterate China’s strong rebound from the pandemic.

Other weekend news saw the Group of Seven industrialized nations finance ministers meeting agree to a minimum tax rate of 15% on global corporations, but most agree such is a long way from actually being implemented. Other news saw U.S. Treasury Secretary Yellen tell reporters the Biden administration’s spending package would be healthy for the economy, even if it causes higher interest rates and higher inflation.

The key outside markets today see the U.S. dollar index slightly higher. Nymex crude oil prices are weaker and trading around $69.25 a barrel after hitting a 2.5-year high of $70.00 overnight. Interestingly, reports say speculators are making heavy purchases of call options with $100 strike prices on Brent and Nymex crude oil futures, expecting both markets to surpass the $100 mark yet this year. Apparently these traders are calling the options purchases “lottery tickets.” The reports also say it is likely the reddit-style traders who are buying the calls–the traders who also ran Gamestop and AMC shares to unbelievable heights earlier this year. Most oil market veterans think Nymex crude presently at $70 is lofty. Playing the stock market is one thing but trading commodity futures markets is a whole different animal—just ask anyone who has traded both. Meantime, the yield on the benchmark 10-year U.S. Treasury note is presently fetching around 1.58%.

U.S. economic data due for release Monday is light and includes the employment trends index and consumer installment credit.

–Jim

U.S. STOCK INDEXES

September S&P 500 e-mini futures: Prices are near steady in early U.S. trading and not far from the recent record high. Bulls have the solid overall near-term technical advantage. The shorter-term moving averages (4-, 9- and 18-day) are  bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are neutral early today. Today, shorter-term technical resistance comes in at the contract high of 4,228.25 and then at 4,250.00. Buy stops likely reside just above those levels. Downside support for active traders is seen at 4,180.00 and then at last week low of 4,155.50. Sell stops likely reside below those levels. Wyckoff’s Intra-day Market Rating: 5.0

September Nasdaq index futures: Prices are near steady in early U.S. trading. Shorter-term moving averages (4- 9-and 18-day) are neutral early today. The 4-day moving average is even with the 9-day. The 9-day average is above the 18-day. Short-term oscillators (RSI, slow stochastics) are neutral early today. Shorter-term technical resistance is seen at the overnight high of 13,772.00 and then at 13,804.00. Buy stops likely reside just above those levels. On the downside, shorter-term support is seen at the overnight low of 13,685.00 and then at 13,600.00. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.0.

U.S. TREASURY BONDS AND NOTES FUTURES

September U.S. T-Bonds: Prices are lower in early U.S. trading today after hitting a four-week high overnight. Bears have the overall near-term technical advantage. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bearish early today. Shorter-term technical resistance is seen at the overnight of 157 25/32 and then at 158 even. Buy stops likely reside just above those levels. Shorter-term support lies at 156 24/32 and then at 156 16/32. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 4.0

September U.S. T-Notes: Prices are lower in early U.S. trading. Shorter-term moving averages (4- 9- 18-day) are neutral early today. The 4-day moving average is even with the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bearish early today. Shorter-term resistance lies at last week’s high of 132.07.5 and then at 132.12.0. Buy stops likely reside just above those levels. Shorter-term technical support lies at 131.26.0 and then at last week’s low of 131.18.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 4.0

EURO CURRENCY

The September Euro currency futures are slightly up in early U.S. trading. The shorter-term moving averages for the Euro are neutral early today, as the 4-day is below the 9-day and 18-day. The 9-day is above the 18-day moving average. Short-term oscillators for the Euro are neutral today. The Euro currency finds shorter-term technical resistance at 1.2200 and then at 1.2238. Buy stops likely reside just above those levels. Shorter-term support is seen at the overnight low of 1.2168 and then at last week’s low of 1.2127. Sell stops likely reside just below those levels. Wyckoff’s Intra Day Market Rating: 5.5

NYMEX CRUDE OIL

Nymex crude oil prices are slightly lower in early U.S. trading after hitting a 2.5-year high overnight. Bulls have the solid overall near-term technical advantage. The shorter-term moving averages are bullish early today as the 4-day is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI and slow stochastics) are neutral to bearish early today. Look for buy stops to reside just above technical resistance at the overnight high of $70.00 and then at $71.00. Look for sell stops just below technical support at the overnight low of $68.93 and then at $68.00. Wyckoff’s Intra-Day Market Rating: 5.0

GRAINS

U.S. grain futures are sharply higher in early U.S. pre-market trading. Game on bulls: it’s a weather market! Grain market bulls have made a strong recovery from the May lows amid the serious weather market scare. The extended weather forecasts for through at least late-June are calling for warmer and drier weather conditions in much of the U.S. midsection. Expect more high daily volatility in the grain futures markets this week. Thursday comes the monthly USDA supply and demand report. Weekly USDA export inspections data is out today.

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission

(CFTC) has said about futures trading (and I agree 100%):

1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.

Jim Wyckoff

Friday, June 4–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed to weaker overnight. U.S. stock indexes are pointed toward slightly lower openings when the New York day session begins. Traders await what is arguably the most important U.S. economic report of the month, Friday morning’s Employment Situation Report for May from the Labor Department. The key non-farm payrolls number is forecast to come in up around 675,000 after a paltry rise of 266,000 in April. The unemployment rate for May is seen at 5.9% versus 6.1% in April. Look for more active trading in the aftermath of the jobs report, especially if it’s a big miss from market expectations.

In overnight news, the Eurozone reported its April retail sales were down 3.1% from March but up 23.9%, year-on-year.

In other news, reports said Russia plans to abandon the U.S. dollar as part of its sovereign wealth fund. Russia currently has 35% of the fund in greenbacks but will cut that to zero. Many veteran market watchers reckon that Russia and China will continue to scheme to erode the dollar’s global dominance. While Russia’s economy is not that significant on the world stage, China boasts the world’s second-largest economy that will move to the number-one spot likely within a decade. Both Russia and China correctly claim the U.S. uses the might of the dollar for political purposes, such as sanctions.

The key outside markets today see the U.S. dollar index slightly higher and hitting a three-week high overnight as the greenback bulls have had a good week. Nymex crude oil prices are a bit higher and trading around $69.00 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently fetching around 1.625%.

Other U.S. economic data due for release Friday includes manufacturers’ shipments and inventories.

–Jim

U.S. STOCK INDEXES

September S&P 500 e-mini futures: Prices are just a bit lower in early U.S. trading and not far from the recent record high. Bulls have the solid overall near-term technical advantage. The shorter-term moving averages (4-, 9- and 18-day) are neutral early today. The 4-day moving average is even with the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are bearish early today. Today, shorter-term technical resistance comes in at Thursday’s high of 4,203.00 and then at the contract high of 4,228.25. Buy stops likely reside just above those levels. Downside support for active traders is seen at this week’s low of 4,155.50 and then at 4,125.00. Sell stops likely reside below those levels. Wyckoff’s Intra-day Market Rating: 5.0

September Nasdaq index futures: Prices are slightly up in early U.S. trading. Shorter-term moving averages (4- 9-and 18-day) are neutral early today. The 4-day moving average is below the 9-day. The 9-day average is above the 18-day. Short-term oscillators (RSI, slow stochastics) are neutral to bearish early today. Shorter-term technical resistance is seen at Thursday’s high of 13,695.00 and then at this week’s high of 13,761.00. Buy stops likely reside just above those levels. On the downside, shorter-term support is seen at the overnight low of 13,457.50 and then at 13,350.00. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.0.

U.S. TREASURY BONDS AND NOTES FUTURES

September U.S. T-Bonds: Prices are slightly up in early U.S. trading today. Bears have the overall near-term technical advantage. Shorter-term moving averages (4- 9- 18-day) are neutral early today. The 4-day moving average is below the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bearish early today. Shorter-term technical resistance is seen at this week’s high of 156 23/32 and then at 157 even. Buy stops likely reside just above those levels. Shorter-term support lies at this week’s low of 155 16/32 and then at 155 even. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.0

September U.S. T-Notes: Prices are near steady in early U.S. trading. Shorter-term moving averages (4- 9- 18-day) are neutral early today. The 4-day moving average is below the 9-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bearish early today. Shorter-term resistance lies at 131.28.0 and then at 132.00.0. Buy stops likely reside just above those levels. Shorter-term technical support lies at this week’s low of 131.18.0 and then at 131.12.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.0

EURO CURRENCY

The September Euro currency futures are weaker and hit a three-week low in early U.S. trading. The shorter-term moving averages for the Euro are neutral early today, as the 4-day is below the 9-day and 18-day. The 9-day is above the 18-day moving average. Short-term oscillators for the Euro are bearish today. The Euro currency finds shorter-term technical resistance at the overnight high of 1.2155 and then at 1.2200. Buy stops likely reside just above those levels. Shorter-term support is seen at 1.2100 and then at last week’s low of 1.2081. Sell stops likely reside just below those levels. Wyckoff’s Intra Day Market Rating: 4.0

NYMEX CRUDE OIL

Nymex crude oil prices are slightly higher in early U.S. trading. Bulls have the solid overall near-term technical advantage. The shorter-term moving averages are bullish early today as the 4-day is above the 9-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI and slow stochastics) are bullish early today. Look for buy stops to reside just above technical resistance at the this week’s high of $69.40 and then at $70.00. Look for sell stops just below technical support at $68.00 and then at $67.00. Wyckoff’s Intra-Day Market Rating: 5.5

GRAINS

U.S. grain futures are solidly higher in early U.S. pre-market trading. Trading has turned choppy and volatile. Grain market bulls have made a strong recovery from recent selling pressure, amid a fresh weather market scare, to suggest the markets put in near-term bottoms last week. The extended weather forecasts for through at least mid-June are calling for warmer and drier weather conditions in much of the U.S. midsection. Weekly USDA export sales data is out today, delayed this week due to the holiday Monday.

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission

(CFTC) has said about futures trading (and I agree 100%):

1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.

Jim Wyckoff