Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Commodity Currents: Which Way Thursday?

Stocks initially headed higher on follow through short-covering gains but couldn't hold them as sellers sold into strength instead sending S&P500 to the lows with prices remaining over 1312.25 which is somewhat encouraging. 10yr Treasuries headed in the other direction as buyers returned but stalled at 133-18 as resistance of 133-24 looms while 133-02 is seen as support although prices look like they want to continue higher. The Dollar held 82.00 and looks like its going to resume its climb, that was a fast correction but it needs to exceed 82.71 to regain the bullish momentum. Gold dropped unable to stay over 1620 but did hold 1580 and could be buyable if it can hold that level and close back over 1593.60 while Silver did a double take falling to test 28.330 which is holding for now keeping 30.00 on the bull's radar. Sellers put the brakes on Crude's upside waiting for prices to trade 87.03 before selling sending prices in reverse forming an outside day suggesting more weakness whereas Natural gas was unable to push through resistance at 2.426 falling to complete a 75% retrenchment of the April move if there is a price that needs to hold it should be these levels or we could see prices retest the April low of 2.112. Corn popped through 588 but unable to hold 600 before falling from the best levels but should be supported by 588 on a pull back whereas Wheat jumped closing over 640 paced by Soybeans clearing 1422 putting 1450 within reach, Meal challenging 430 with record highs on the horizon and Oats continuing higher looking for 310. Indecision day in Coffee although with a little buying interest but otherwise lackluster price action with 160.00 resistance whereas prices still holding 155.00 again whereas Sugar reversed lower back under 19.88 with 19.50 the first test of this breakout as buyers reconsider chasing prices to 20.43 while Cocoa continues higher into its congestion area clearing 2,217 on its quest to challenge 2,284. Orange Juice decided to test support at 112.00 instead of moving higher, there is always tomorrow to try again for 130 and Cotton was limit up again catching sellers on the wrong side of the market as buyers chased prices higher now challenging 74.23 with support seen at 70.74 and upside could be the 77.00 area.

DISCLAIMER:

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