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Commodity Currents: Wobbling Wednesday.

Stocks weebled and wobbled but didn't fall down as 1390 supported in the S&P500 and 2700.00 in the Nasdaq 100 futures keeping equity bears away for another day although upside gains were difficult to come by as well. 10yr Treasuries bounced off near term support 131-30 keeping sellers on edge but not able to make much upside but keeping new contract highs within reach while bonds held another test of 142-00 to end back over 142-13 resistance but with more upside resistance to work through from 143-00. Gold pulled back again as it has in the past when getting close to1680 but remained over 1651 keeping its upside alive should that level continues to support while Silver was rejected from 31.000 in its slow churn lower although 30.410 supported with profit-taking in Copper after being turned away from 3.8500 with support seen at 3.7500. Crude reversed gears unable to stay over 106.00 but buyers were supportive at 105.00 so if that level continues to hold it suggests another challenge of 106.00. Natural gas fell on likely profit-taking as prices approached my 2.400 target with 2.145 seen as key support level which should hold on any downside attempt if this move has any substance to it. New contract lows in Hogs as the market takes the path of least resistance with Cattle turned away from 114.00 selling off sliding back under 113.250 as another downside probe looms. The grains were lower on profit-taking with Corn slicing through more downside support now under 615 with a retest of 590-600 highly likely paced by an almost 5 percent drop in Wheat challenging 610 an area which had held previous selling attempts while sellers leaped on Soybeans as new contract highs were rejected a sign the long overdue correction could be starting. Coffee was turned away from 185.00 again on profit-taking but remained over 180.00 the longer prices stay over that level the better for further upside potential, specifically 187.50. Cocoa prices held over 2,300 again with a close over 2,350 puts 2,386 next with a borderline day for Cotton confined by 90.00 on the upside as the market ponders which direction to take although could see another downside attempt to 88.00.


The risk of loss trading commodity futures contracts can be substantial. You should, therefore, carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. Trading futures without protective stops or options is not recommended.