Daily Morning Report

Thursday, April 22–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed to mostly firmer overnight. U.S. stock indexes are pointed toward slightly lower openings when the New York day session begins. The U.S. indexes are seeing a routine pause and some chart consolidation much of this week after last week hitting record highs.

The European Central Bank announces its latest policy decision this morning, with analysts expecting no policy changes. ECB President Christine Lagarde will likely be questioned on how long the ECB plans to keep buying bonds.

The key outside markets today see the U.S. dollar index weaker and continuing in a near-term downtrend. Nymex crude oil prices are modestly lower and trading around $61.00 a barrel. Meantime, the yield on the benchmark 10-year U.S. Treasury note is presently fetching around 1.561%.

It’s a busy day for U.S. economic data Thursday, including the weekly jobless claims report, the Chicago Fed national activity index, existing home sales, leading economic indicators, and the Kansas City Fed manufacturing survey.

–Jim

U.S. STOCK INDEXES

June S&P 500 e-mini futures: Prices are slightly down in early U.S. trading. Bulls still 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 record high of 4,183.50 and then at 4,200.00. Buy stops likely reside just above those levels. Downside support for active traders is seen at this week’s low of 4,110.50 and then at 3,980.00. Sell stops likely reside below those levels. Wyckoff’s Intra-day Market Rating: 5.0

June Nasdaq index futures: Prices are slightly lower 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 the contract high of 14,059.50 and then at 14,200.00. Buy stops likely reside just above those levels. On the downside, shorter-term support is seen at 13,800.00 and then at this week’s low of 13,700.50. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 4.5.

U.S. TREASURY BONDS AND NOTES FUTURES

June U.S. T-Bonds: Prices are a bit firmer in early U.S. trading today. Bears have the overall near-term technical advantage. However, recent sideways-to-higher price action at lower levels may be “basing” that puts in a market bottom. Prices are also in a fledgling 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 neutral early today. Shorter-term technical resistance is seen at the April high of 159 1/32 and then at 159 16/32. Buy stops likely reside just above those levels. Shorter-term support lies at 158 even and then at 157 16/32. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.5

June U.S. T-Notes: Prices are near steady 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 and 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral early today. Shorter-term resistance lies at the overnight high of 132.24.5 and then at 132.28.0. Buy stops likely reside just above those levels. Shorter-term technical support lies at 132.11.5 and then at 132.06.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.0

EURO CURRENCY

The June Euro currency futures are higher in early U.S. trading. The shorter-term moving averages for the Euro are bullish early today, as the 4-day is above 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 this week’s high of 1.2093 and then at 1.2150. Buy stops likely reside just above those levels. Shorter-term support is seen at 1.2000 and then at this week’s low of 1.1956. Sell stops likely reside just below those levels. Wyckoff’s Intra Day Market Rating: 6.0

NYMEX CRUDE OIL

June Nymex crude oil prices are weaker in early U.S. trading. Bulls still have the overall near-term technical advantage. The shorter-term moving averages are neutral early today as the 4-day is even with 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 $62.00 and then at $62.56. Look for sell stops just below technical support at $60.00 and then at $59.00. Wyckoff’s Intra-Day Market Rating: 4.5

GRAINS

U.S. grain futures are solidly higher in early U.S. pre-market trading. Prices are at or close to their contract highs. Cold weather in the U.S. midsection this week is bullish but it’s a bit early to get too worked up about delayed corn and soybean planting. U.S. wheat did see some freeze damage this week. The world supply and demand balance sheet for the grains remains bullish and the charts are also fully bullish. All of the above suggest more upside for grain futures prices. On tap today is the weekly USDA export sales 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

Global stock markets were mixed overnight, with European shares mostly up and Asian shares mostly down. U.S. stock indexes are pointed toward slightly lower openings when the New York day session begins. The U.S. indexes are pausing this week after hitting record highs last week. A spike in Covid-19 infections in several regions of the world is weighing a bit on trader/investor sentiment. There are also worries about new variants of the virus that present vaccines may not thwart. Focus of equity traders is also on quarterly earnings reports, which have been and are expected to continue to be mostly upbeat as the U.S. rolls out of its pandemic-inducted economic slowdown.

The key outside markets today see the U.S. dollar index firmer on a corrective bounce after hitting a six-week low Tuesday. The greenback bears are still in control at present. Nymex crude oil prices are lower and trading around $62.00 a barrel. There are increasing concerns that the  pandemic, which is still raging in some regions of the globe, could crimp energy demand. Meantime, the yield on the benchmark 10-year U.S. Treasury note is presently fetching around 1.575%.

U.S. economic data due for release Wednesday is light again and includes the weekly MBA mortgage applications survey and the weekly DOE liquid energy stocks report. The pace picks up Thursday.

–Jim

U.S. STOCK INDEXES

June S&P 500 e-mini futures: Prices are near steady in early U.S. trading on a corrective pullback and pause after hitting a contract and record high last Friday. Bulls still 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 Tuesday’s high of 4,167.25 and then at the record high of 4,183.50. Buy stops likely reside just above those levels. Downside support for active traders is seen at 4,100.00 and then at 3,980.00. Sell stops likely reside below those levels. Wyckoff’s Intra-day Market Rating: 5.0

June Nasdaq index futures: Prices are slightly lower in early U.S. trading amid a downside correction this week after hitting a record high late last week. 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 early today. Shorter-term technical resistance is seen at Tuesday’s high of 13,933.75 and then at the contract high of 14,059.50. Buy stops likely reside just above those levels. On the downside, shorter-term support is seen at 13,700.00 and then at 13,600.00. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 4.5.

U.S. TREASURY BONDS AND NOTES FUTURES

June U.S. T-Bonds: Prices are weaker in early U.S. trading today. Bears have the overall near-term technical advantage. However, recent sideways-to-higher price action at lower levels may be “basing” that puts in a market bottom. Prices are also in a fledgling 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 neutral to bearish early today. Shorter-term technical resistance is seen at this week’s high of 158 13/32 and then at last week’s high of 159 1/32. Buy stops likely reside just above those levels. Shorter-term support lies at this week’s low of 156 27/32 and then at 156 even. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 4.5

June U.S. T-Notes: Prices are weaker 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 and 18-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 this week’s high of 132.19.5 and then at last week’s high of 132.22.0. Buy stops likely reside just above those levels. Shorter-term technical support lies at 132.08.0 and then at this week’s low of 131.31.5. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 4.0

EURO CURRENCY

The June Euro currency futures are lower in early U.S. trading on a corrective pullback after hitting a seven-week high on Tuesday. The shorter-term moving averages for the Euro are bullish early today, as the 4-day is above the 9-day and 18-day. The 9-day is above the 18-day moving average. Short-term oscillators for the Euro are bearish early today. The Euro currency finds shorter-term technical resistance at the overnight high of 1.2057 and then at this week’s high of 1.2093. Buy stops likely reside just above those levels. Shorter-term support is seen at 1.2000 and then at this week’s low of 1.1956. Sell stops likely reside just below those levels. Wyckoff’s Intra Day Market Rating: 4.0

NYMEX CRUDE OIL

June Nymex crude oil prices are weaker in early U.S. trading. Bulls still have the firm 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 $62.56 and then at $63.00. Look for sell stops just below technical support at this week’s low of $61.49 and then at $61.00. Wyckoff’s Intra-Day Market Rating: 4.0

GRAINS

U.S. grain futures are again higher in early U.S. pre-market trading. Prices are at or close to their contract highs. Cold weather in the U.S. midsection is bullish but it’s a bit early to get too worked up about delayed corn and soybean planting. U.S. wheat could see some freeze damage this week. The world supply and demand balance sheet for the grains remains bullish and the charts are also fully bullish. All of the above suggest more upside for grain futures prices.

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, April 20–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed overnight. U.S. stock indexes are pointed toward lower openings when the New York day session begins. The U.S. indexes are pausing early this week after hitting record highs last week. There is no major U.S. economic data due for release Tuesday and the pace for U.S. data is slow up until Thursday. Focus of equity traders is presently on quarterly earnings reports, which are expected to be mostly upbeat as the U.S. rolls out of its pandemic-inducted economic slowdown.

In another sign that inflation could become problematic in the coming months, or sooner, SP Angel this morning said in an email dispatch: “U.S. ports are breaking new records for imports as shops and online retailers stock up ahead of new consumer splurge. Volumes at the Port of Los Angeles rose nearly 123%, year-on-year, and also up 65% from 2019. Imports have climbed to high levels driven by Biden’s ‘go big’ stimulus and by consumer exuberance led by the rapid roll out of vaccinations in the U.S.” If such a scenario does indeed play out it would be bullish for hard assets like precious metals and real estate, and bearish for paper assets like stocks and bonds.

The key outside markets today see the U.S. dollar index near steady hitting a six-week low overnight. The greenback bears are in control at present. Nymex crude oil prices are firmer, hit a four-week high overnight, and are trading around $64.00 a barrel. Meantime, the yield on the benchmark 10-year U.S. Treasury note is presently fetching around 1.622%–creeping back up this week.

U.S. economic data due for release today is light and includes the weekly Johnson Redbook and Goldman Sachs retail sales reports.

–Jim

U.S. STOCK INDEXES

June S&P 500 e-mini futures: Prices are lower in early U.S. trading on a corrective pullback after hitting a contract and record high last Friday. Bulls still 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 bearish early today. Today, shorter-term technical resistance comes in at the overnight high of 4,167.25 and then at the record high of 4,183.50. Buy stops likely reside just above those levels. Downside support for active traders is seen at 4,120.00 and then at 4,100.00. Sell stops likely reside below those levels. Wyckoff’s Intra-day Market Rating: 4.5

June Nasdaq index futures: Prices are slightly lower in early U.S. trading on a downside correction after hitting a record high late last week. 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 bearish early today. Shorter-term technical resistance is seen at the overnight high of 13,933.75 and then at the contract high of 14,059.50. Buy stops likely reside just above those levels. On the downside, shorter-term support is seen at 13,800.00 and then at 13,700.00. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 4.5.

U.S. TREASURY BONDS AND NOTES FUTURES

June U.S. T-Bonds: Prices are slightly up in early U.S. trading today. Bears have the overall near-term technical advantage. However, recent sideways-to-higher price action at lower levels may be “basing” that puts in a market bottom. Prices are also in a fledgling 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 neutral early today. Shorter-term technical resistance is seen at 158 even and then at last week’s high of 159 1/32. Buy stops likely reside just above those levels. Shorter-term support lies at the overnight low of 156 27/32 and then at 156 even. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.5

June U.S. T-Notes: Prices are slightly up 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 and 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral early today. Shorter-term resistance lies at Monday’s high of 132.18.0 and then at last week’s high of 132.22.0. Buy stops likely reside just above those levels. Shorter-term technical support lies at the overnight low of 131.31.5 and then at 131.26.5. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.0

EURO CURRENCY

The June Euro currency futures are a higher in early U.S. trading and hit a seven-week high. The shorter-term moving averages for the Euro are bullish early today, as the 4-day is above the 9-day and 18-day. The 9-day is above 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 the overnight high of 1.2093 and then at 1.2150. Buy stops likely reside just above those levels. Shorter-term support is seen at 1.2000 and then at this week’s low of 1.1956. Sell stops likely reside just below those levels. Wyckoff’s Intra Day Market Rating: 6.0

NYMEX CRUDE OIL

June Nymex crude oil prices are slightly higher and hit a four-week high in early U.S. trading. Bulls have the firm 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 early today. Look for buy stops to reside just above technical resistance at the overnight high of $64.38 and then at $65.00. Look for sell stops just below technical support at this week’s low of $62.27 and then at $62.00. Wyckoff’s Intra-Day Market Rating: 5.5

GRAINS

U.S. grain futures are again higher to solidly higher in early U.S. pre-market trading. Prices are near their recent highs. Weather in the U.S. midsection will be market-sensitive in the coming weeks as corn planters start to roll. Right now, cold weather and some snow for the Corn Belt are supportive for prices. The world supply and demand balance sheet for the grains remains bullish—especially for corn and soybeans.

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, April 19–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed overnight. U.S. stock indexes are pointed toward slightly lower openings when the New York day session begins, on a pause after hitting record highs last week. It’s a quieter start to the trading week. There is no major U.S. economic data due for release Monday and the pace for U.S. data is slow up until Thursday.

Gold prices are higher and hit a seven-week high in early U.S. trading, due in part to reports late last week the Chinese government will allow domestic and foreign banks to import larger amounts of the precious metal into China. Such could also lead to more consumer demand for gold from China, already a major gold importer for consumers.

Bitcoin prices are higher Monday after a huge drop over the weekend after Turkey’s central bank said it would ban the crypto currency’s use as a form of payment. Bitcoin investors are worried other central banks could do the same. However, it seems that Bitcoin has come too far into the investment fold for many, including high rollers on Wall Street, which suggests any crackdown by a major world central bank would be unlikely.

The key outside markets today see the U.S. dollar index down and hitting a six-week low. The greenback bulls are presently reeling. Nymex crude oil prices are weaker and trading around $63.00 a barrel. Meantime, the yield on the benchmark 10-year U.S. Treasury note is presently fetching around 1.562%, continuing to slip from highs seen earlier in April.

–Jim

U.S. STOCK INDEXES

June S&P 500 e-mini futures: Prices are slightly lower in early U.S. trading on a mild corrective pullback after hitting a contract and record high on Friday. 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 bearish early today. Today, shorter-term technical resistance comes in at the record high of 4,183.50 and then at 4,200.00. Buy stops likely reside just above those levels. Downside support for active traders is seen at 4,150.00 and then at 4,130.00. Sell stops likely reside below those levels. Wyckoff’s Intra-day Market Rating: 4.5

June Nasdaq index futures: Prices are slightly lower in early U.S. trading on a slight downside correction after hitting a record high late last week. 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 bearish early today. Shorter-term technical resistance is seen at the contract high of 14,059.50 and then at 14,200.00. Buy stops likely reside just above those levels. On the downside, shorter-term support is seen at 13,900.00 and then at 13,800.00. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 4.5.

U.S. TREASURY BONDS AND NOTES FUTURES

June U.S. T-Bonds: Prices are slightly up in early U.S. trading today. Bears still have the overall near-term technical advantage. However, recent sideways-to-higher price action at lower levels may be “basing” that puts in a market bottom. Prices are also in a fledgling 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 neutral early today. Shorter-term technical resistance is seen at last week’s high of 159 1/32 and then at 159 16/32. Buy stops likely reside just above those levels. Shorter-term support lies at 157 16/32 and then at 157 even. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.5

June U.S. T-Notes: Prices are near steady 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 and 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral early today. Shorter-term resistance lies at last week’s high of 132.22.0 and then at 132.28.0. Buy stops likely reside just above those levels. Shorter-term technical support lies at 132.06.0 and then at 132.00.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.0

EURO CURRENCY

The June Euro currency futures are a solidly higher in early U.S. trading and hit a six-week high. The shorter-term moving averages for the Euro are bullish early today, as the 4-day is above the 9-day and 18-day. The 9-day is above the 18-day moving average. Short-term oscillators for the Euro are bullish early today. The Euro currency finds shorter-term technical resistance at 1.2100 and then at 1.2150. Buy stops likely reside just above those levels. Shorter-term support is seen at 1.2000 and then at the overnight low of 1.1956. Sell stops likely reside just below those levels. Wyckoff’s Intra Day Market Rating: 6.5

NYMEX CRUDE OIL

June Nymex crude oil prices are slightly lower in early U.S. trading. Bulls have the firm 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 early today. Look for buy stops to reside just above technical resistance at last week’s high of $63.94 and then at $64.50. Look for sell stops just below technical support at $62.00 and then at $61.00. Wyckoff’s Intra-Day Market Rating: 4.5

GRAINS

U.S. grain futures are higher to solidly higher in early U.S. pre-market trading. Prices are near their recent highs. Weather in the U.S. midsection will be market-sensitive in the coming weeks as corn planters start to roll. Right now, cold weather and even some snow forecast for the Corn Belt is supportive for prices. The world supply and demand balance sheet for the grains remains bullish—especially for corn and soybeans.

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