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Commodity Currents: Tempting Tuesday.

Sure enough stocks refused to sell off now back over the 200dma 1278 in the S&P500 and prices could advance until encountering resistance at 1304.25 likely led by the Nasdaq 100 which had already held its 200day in the prior session with resistance seen at 2503 and 2515 so for now the immediately direction is higher although both advancing on decreasing volume which usually isn't bullish long term. More profit-taking in 10yr Treasuries as prices continued toward 133-15 support and how buyers react to that level support or not remains to be seen. The Dollar didn't stay under 82.76 for very long before bouncing higher forming a bull flag which could mean prices ultimately trade north of 84.00. Gold continues to remain stalled under 1626.20 without new buying further gains could be difficult to come by with support at 1600 and 1580 while Silver plays catch up holding 28.000 and drifting higher over 28.310 with 29.000 next upside objective. Indecision day in Crude drifting higher on apparent short-covering with 88.00 remaining the upside challenge while Natural gas tried to advance but without new buyers gains will be hard to come buy although prices did close over 2.426 which is encouraging with 2.516 next upside target. Indecision day in Corn as prices were unable to close over 569 but buyers supported at 560 resulting in a nearly flat session while Wheat sold off giving back yesterday's gains as sellers push prices within sight of the June lows as Soybeans tried to advance but ran into sellers waiting at 1360 with prices still looking they are headed for 1300 and Oats chops toward resistance at 291 but lacking conviction. Coffee reversed lower giving back yesterday's small gains heading toward 155.00 again with both buying and selling conviction lacking here while lack of follow through selling had Sugar closing with small gains although 19.50 resistance looms large. Cocoa was sweet to longs leaping over 2,100 heading towards next target of 2,200, pullbacks could be purchased if they hold 2,100 and Orange Juice took a small step forward advancing shy of 3% to 114.80 with 110.00 supporting could easily see prices challenge 133.28 however Cotton took a step backwards reversing lower as sellers get motivated not waiting for prices to challenge 71.00 before selling as contract lows remain within reach.


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