Daily Morning Report

Monday, November 30–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed overnight. U.S. stock indexes are also pointed toward mixed openings when the New York day session begins. There were news reports the past few days that a Covid-19 vaccine will be on the market, to some degree, by the end of this year, which is much sooner than most expected. However, somewhat denting trader and investor enthusiasm on this last trading day of the month are reports the out-going Trump administration will further sanction major Chinese companies in the coming weeks.

Copper prices in Shanghai hit a more-than-eight-year high Monday, while prices in London are at a more-than-four-year high. China’s strong economic recovery continues, with the latest data showing its November manufacturing purchasing managers index (PMI) at 52.1 versus 51.4 in October, and 51.5 expected. The non-manufacturing PMI came in at 56.4 in November compared to 56.2 last month and 56.0 expected. The official manufacturing PMI reading was the highest since September 2017, while the mon-manufacturing PMI was the highest reading since June of 2012. There is speculation a Chinese copper producer which may have sold copper forwards at lower price levels and is now caught in a “short squeeze” situation.

The U.S. dollar index is lower and hit a 2.5-year low early today. The other important outside market sees January Nymex crude oil futures prices weaker and trading around $44.75 a barrel. There is an OPEC meeting that begins Monday and will be closely watched by the marketplace. The yield on the benchmark 10-year U.S. Treasury note futures is currently trading at 0.85%.

U.S. economic data due for release Monday includes the Chicago ISM business survey, pending home sales, and the Texas manufacturing survey.

–Jim

U.S. STOCK INDEXES

March S&P 500 e-mini futures: Prices are weaker in early U.S. trading. Bulls have the solid overall near-term technical advantage and prices are just below the recent high set earlier this month. 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 last week’s high of 3,645.75 and then at the contract high of 3,657.50. Buy stops likely reside just above those levels. Downside support for active traders is seen at the overnight low of 3,596.50 and then at 3,570.00. Wyckoff’s Intra-day Market Rating: 4.0

March Nasdaq index futures: Prices are slightly down in early U.S. trading. Bulls have the solid overall near-term technical advantage, but stiff resistance lies just above the market. 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 early today. Shorter-term technical resistance is seen at the overnight high of 12,327.50 and then at the October high of 12,420.75. On the downside, shorter-term support is seen at the overnight low of 12,200.00 and then at Friday’s low of 12,131.00. Wyckoff’s Intra-Day Market Rating: 4.5.

U.S. TREASURY BONDS AND NOTES FUTURES

March U.S. T-Bonds: Prices are weaker in early U.S. trading. Bears have the 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 the overnight high of 175 10/32 and then at last week’s high of 175 21/32. Shorter-term support lies at 174 16/32 and then at 174 even. Wyckoff’s Intra-Day Market Rating: 4.5

March U.S. T-Notes: Prices are weaker in early U.S. trading. Bears have the near-term technical advantage. 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 early today. Shorter-term resistance lies at the overnight high of 138.08.0 and then at 138.12.0. Shorter-term technical support lies at Friday’s low of 137.28.0 and then at last week’s low of 137.23.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 4.5

EURO CURRENCY

The March Euro currency futures are higher and hit a three-month high 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. 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 September high of 1.2045 and then at 1.2100. Shorter-term support is seen at the overnight low of 1.1995 and then at 1.1950. Wyckoff’s Intra Day Market Rating: 7.0

NYMEX CRUDE OIL

January Nymex crude oil prices are lower on more profit taking after hitting an eight-month high last week. Bulls still 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 and 18-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 $46.42 and then at last week’s high of $46.26. Look for sell stops just below technical support at the overnight low of $44.42 and then at $44.00. Wyckoff’s Intra-Day Market Rating: 4.5

GRAINS

US grain futures are mixed to weaker in early U.S. pre-market trading. The grain market bulls still have the firm overall near-term technical advantage. Weekly USDA export inspections data will be out this morning.

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, November 27–Jim Wyckoff’s Morning Markets Report

Global stock markets were mostly flat overnight, amid no major news developments the past 48 hours. U.S. stock indexes are pointed toward modestly higher openings when the New York day session begins. Following the U.S. Thanksgiving holiday on Thursday, Friday is usually one of the slowest U.S. trading days of the year. The NYSE and Nasdaq stock markets close early today.

The U.S. dollar index is near steady early today. The other important outside market sees January Nymex crude oil futures prices weaker and trading around $45.40 a barrel. The yield on the benchmark 10-year U.S. Treasury note futures is currently trading at 0.86%.

There is no major U.S. economic data due for release Friday.

–Jim

U.S. STOCK INDEXES

December S&P 500 e-mini futures: Prices are modestly up in early U.S. trading. Bulls have the solid overall near-term technical advantage and prices are just below the recent high set earlier this month. 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 this week’s high of 3,655.00 and then at the contract high of 3,668.00. Buy stops likely reside just above those levels. Downside support for active traders is seen at 3,600.00 and then at 3,575.25. Wyckoff’s Intra-day Market Rating: 5.5

December Nasdaq index futures: Prices are modestly firmer in early U.S. trading. Bulls have the solid overall near-term technical advantage, but stiff resistance layers lie just above the market. 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 bullish early today. Shorter-term technical resistance is seen at the overnight high of 12,223.50 and then at the October high of 12,249.00. On the downside, shorter-term support is seen at the overnight low of 12,127.00 and then at 12,000.00. Wyckoff’s Intra-Day Market Rating: 5.5.

U.S. TREASURY BONDS AND NOTES FUTURES

December U.S. T-Bonds: Prices are higher in early U.S. trading. Bears have the near-term technical advantage. 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 bullish early today. Shorter-term technical resistance is seen at the overnight high of 173 25/32 and then at last week’s high of 174 9/32. Shorter-term support lies at the overnight low of 172 27/32 and then at this week’s low of 172 17/32. Wyckoff’s Intra-Day Market Rating: 6.0

December U.S. T-Notes: Prices are higher in early U.S. trading. Bears have the near-term technical advantage. 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 bullish early today. Shorter-term resistance lies at the overnight high of 138.17.5 and then at last week’s high of 138.20.0. Shorter-term technical support lies at this week’s low of 138.04.0 and then at 138.00.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 6.0

EURO CURRENCY

The March Euro currency futures are slightly higher in early U.S. trading and hit a three-month high overnight. The shorter-term moving averages for the Euro 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 for the Euro are bullish early today. The Euro currency finds shorter-term technical resistance at the overnight high of 1.1972 and then at 1.2000. Shorter-term support is seen at the overnight low of 1.1919 and then at 1.1872. Wyckoff’s Intra Day Market Rating: 6.0

NYMEX CRUDE OIL

January Nymex crude oil prices are slightly lower on some mild profit taking after hitting an eight-month high Wednesday. 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 and 18-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 this week’s high of $46.26 and then at $47.00. Look for sell stops just below technical support at the overnight low of $44.55 and then at $44.00. Wyckoff’s Intra-Day Market Rating: 4.5

GRAINS

US grain futures are mixed in early U.S. pre-market trading. The grain market bulls still have the firm near-term technical advantage amid price uptrends in place in all three markets. There are no strong, early clues to suggest that market tops are close at hand. Weekly USDA export sales data will be out on Friday morning.

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

Wednesday, November 25–Jim Wyckoff’s Morning Markets Report

Global stock markets were mixed overnight. U.S. stock indexes are also pointed toward mixed openings when the New York day session begins. The Dow and S&P 500 stock indexes had record-high closes on Tuesday. Don’t be surprised to see markets mostly pause today, ahead of the U.S. Thanksgiving holiday on Thursday. And then on Friday it’s usually one of the slowest U.S. trading days of the year.

However, Wednesday is a very busy day for U.S. economic data, which could move the markets. Due for release today includes the weekly MBA mortgage applications survey, the second estimate of third-quarter gross domestic product, advance economic indicators, durable goods orders, the weekly jobless claims report, personal income and outlays new residential sales, the University of Michigan consumer sentiment survey, the FOMC minutes, and the weekly DOE liquid energy stocks report.

Marketplace attitudes have been very upbeat this week, as traders and investors are opting to look past the presently very bad Covid-19 situation in the U.S. and Europe, which is forcing fresh restrictions on businesses and the public. Instead, markets are looking into 2021, when vaccines are very likely coming to market and economies are very likely to be strongly rebounding as Covid gets tamped down. Also this week, President Trump has blinked regarding realizing Joe Biden beat him in the U.S. presidential election and has allowed Biden’s team to get government assistance in setting up shop.

The U.S. dollar index is near steady early today. The other important outside market sees January Nymex crude oil futures prices firmer, hitting an eight-month high overnight and trading around $45.40 a barrel. The yield on the benchmark 10-year U.S. Treasury note futures is currently trading at 0.86%.

As an aside, many conspiracy theorists have blamed JP Morgan for manipulating futures markets over the years, especially gold. Many market watchers have brushed those notions off, reckoning major futures markets are way too big to see significant and sustained price manipulation. For JP Morgan’s part, the big investment bank was just fined another quarter-billion dollars for “fiduciary” shortcomings. JP’s long list of big government fines over the years certainly begs the question: “What if JP is big enough to have a sustained and significant influence over markets?” The bank’s unsavory actions at the least suggest, “it could if it would.” In September, JP paid almost a billion dollars to settle market manipulation charges in precious metals and U.S. Treasuries between 2008 and 2016, and admitted to the misconduct.

–Jim

U.S. STOCK INDEXES

December S&P 500 e-mini futures: Prices are near steady in early U.S. trading. Bulls have the solid overall near-term technical advantage and prices are just below the recent high set earlier this month. 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 overnight high of 3,655.00 and then at the contract high of 3,668.00. Buy stops likely reside just above those levels. Downside support for active traders is seen at 3,600.00 and then at Tuesday’s low of 3,575.25. Wyckoff’s Intra-day Market Rating: 5.0

December Nasdaq index futures: Prices are firmer in early U.S. trading. Bulls have the solid overall near-term technical advantage, but stiff resistance layers lie just above the market. 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 the overnight high of 12,173.00 and then at the October high of 12,249.00. On the downside, shorter-term support is seen at 12,000.00 and then at this week’s low of 11,808.25. Wyckoff’s Intra-Day Market Rating: 6.0.

U.S. TREASURY BONDS AND NOTES FUTURES

December U.S. T-Bonds: Prices are higher in early U.S. trading. Bears have the 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 early today. Shorter-term technical resistance is seen at 174 even and then at last week’s high of 174 9/32. Shorter-term support lies at the overnight low of 172 17/32 and then at 172 even. Wyckoff’s Intra-Day Market Rating: 5.5

December U.S. T-Notes: Prices are firmer in early U.S. trading. Bears have the 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 early today. Shorter-term resistance lies at this week’s high of 138.17.5 and then at last week’s high of 138.20.0. Shorter-term technical support lies at the overnight low of 138.04.0 and then at 138.00.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.5

EURO CURRENCY

The March Euro currency futures are slightly higher in early U.S. trading and hit a nearly three-month high overnight. The shorter-term moving averages for the Euro 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 for the Euro are neutral early today. The Euro currency finds shorter-term technical resistance at the overnight high of 1.1962 and then at 1.2000. Shorter-term support is seen at Tuesday’s low of 1.1872 and then at this week’s low of 1.1833. Wyckoff’s Intra Day Market Rating: 6.0

NYMEX CRUDE OIL

January Nymex crude oil prices are higher and hit an eight-month high 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 and 18-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 overnight high of $45.72 and then at $46.00. Look for sell stops just below technical support at the overnight low of $44.73 and then at $44.00. Wyckoff’s Intra-Day Market Rating: 6.0

GRAINS

US grain futures are mixed in early U.S. pre-market trading, on some more profit taking from recent good gains. Not much new. The grain market bulls still have the firm near-term technical advantage amid price uptrends in place in all three markets. There are no strong, early clues to suggest that market tops are close at hand. Weekly USDA export sales data will be out on Friday morning.

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, November 24–Jim Wyckoff’s Morning Markets Report

Global stock markets were mostly higher overnight. U.S. stock indexes are pointed toward higher openings when the New York day session begins. Risk sentiment remains upbeat this U.S. holiday-shortened trading week. There will be at least three very successful Covid-19 vaccines coming to market in the coming weeks or few months, including a powerful drug cocktail being released to help those who have the virus defeat it. Monday there was a surprisingly upbeat U.S. purchasing managers survey and President Trump agreed to President-Elect Joe Biden’s request for government assistance that is normally given presidents-elect. Also, Biden on Monday tabbed former Fed Chair Janet Yellen, a monetary policy dove, as his Treasury Secretary. All of the above have traders and investors in a risk-on state of mind. There is a growing general consensus in the marketplace that by the second half of 2021 the pandemic will be tamped down and economies will be well on the road to returning to normal.

Attitudes are generally upbeat despite the pandemic epidemic that is presently getting worse and once again crimping businesses and the general public in the U.S. and in Europe. Recent economic data from the Euro zone has been downbeat, suggesting a double-dip recession.

A feature in the marketplace this week is plummeting gold prices, which hit a nearly five-month low of $1,803.50 overnight, basis December Comex futures. The keener risk appetite just recently is denting buyer interest in the safe-haven metal. A few are proclaiming the recent big gains in Bitcoin, at the same time gold’s price drops, as making the digital currency the “new gold.” Most veteran market watchers reckon that notion is hogwash, as a main reason for gold being a safe-haven store of value is that an investor can store physical gold in a safe place—even at home. Gold’s value and sustainability do not depend on the viability of “the grid.” Those digital currency owners who consider their asset to be the new safe-haven replacement for gold might get this question from a veteran gold bug: “When the grid goes down, will you show me your digital currency?” One final note on gold’s descent this week: Many smart-money traders will be viewing gold as a value-buying opportunity, figuring that when global economies are back to firing on all cylinders in the coming months, and with those economies already awash in cash from central banks’ stimulus programs, very strong consumer demand will occur, resulting in price inflation being ignited–and maybe with a vengeance.

The U.S. dollar index is lower early today. Prices Monday hit a seven-week low. The other important outside market sees January Nymex crude oil futures prices firmer, hitting a nearly three-month high overnight and trading around $43.50 a barrel. The yield on the benchmark 10-year U.S. Treasury note futures is currently trading at 0.86%.

U.S. economic data due for release Tuesday includes the weekly Johnson Redbook and Goldman Sachs retail sales reports, the U.S. monthly and quarterly house price indexes, the S&P Core-Logic house price index, the weekly chain store sales index, the Richmond Fed business survey, and the consumer confidence index.

–Jim

U.S. STOCK INDEXES

December S&P 500 e-mini futures: Prices are higher in early U.S. trading. Bulls have the solid overall near-term technical advantage and prices are not far below the recent high. The 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 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 last week’s high of 3,637.00 and then at the contract high of 3,668.00. Buy stops likely reside just above those levels. Downside support for active traders is seen at the overnight low of 3,575.25 and then at last week’s low of 3,542.25. Wyckoff’s Intra-day Market Rating: 6.5

December Nasdaq index futures: Prices are firmer in early U.S. trading. Bulls have the firm overall near-term technical advantage, but stiff resistance layers lie just above the market. 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 last week’s high of 12,096.25 and then at the October high of 12,249.00. On the downside, shorter-term support is seen at Monday’s low of 11,808.25 and then at 11,700.00. Wyckoff’s Intra-Day Market Rating: 6.0.

U.S. TREASURY BONDS AND NOTES FUTURES

December U.S. T-Bonds: Prices are slightly lower in early U.S. trading. Bears have the 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 early today. Shorter-term technical resistance is seen at 174 even and then at last week’s high of 174 9/32. Shorter-term support lies at the overnight low of 173 1/32 and then at 172 16/32. Wyckoff’s Intra-Day Market Rating: 4.5

December U.S. T-Notes: Prices are near steady in early U.S. trading. Bears have the 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 bullish early today. Shorter-term resistance lies at Monday’s high of 138.17.5 and then at last week’s high of 138.20.0. Shorter-term technical support lies at the overnight low of 138.06.5 and then at 138.00.0. Sell stops likely reside just below those levels. Wyckoff’s Intra-Day Market Rating: 5.0

EURO CURRENCY

The March 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. 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 Monday’s high of 1.1940 and then at the November high of 1.1954. Shorter-term support is seen at the overnight low of 1.1872 and then at Monday’s low of 1.1833. Wyckoff’s Intra Day Market Rating: 6.0

NYMEX CRUDE OIL

January Nymex crude oil prices are higher and hit a nearly three-month 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 and 18-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 overnight high of $43.74 and then at the August high of $44.59. Look for sell stops just below technical support at the overnight low of $42.82 and then at Monday’s low of $42.29. Wyckoff’s Intra-Day Market Rating: 6.5

GRAINS

US grain futures are lower in early U.S. pre-market trading, on profit taking from recent good gains. The grain market bulls still have the firm near-term technical advantage amid price uptrends in place in all three markets. There are no strong, early clues to suggest that market tops are close at hand.

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