LOOKING AHEAD TO THURSDAY BY REFLECTING BACK ON WEDNESDAY'S ACTION
Bullish outlook for the Pound, Canadian Dollar, EuorFX and Corn!
CURRENCIES: 11/12/09 Higher closes yesterday for the Canadian dollar and dollar index while lower for the Euro fx, Swiss franc, Aussie and Canadian dollar along with the Japanese yen. The euro and franc continue to be in long-term up-trends but after making their highest highs in around three weeks both sold off to close lower in reversal type action. The yen closed lower continuing to be a sell unless settling over 11200 basis the December contract. The Canadian dollar, on the other hand, made its highest high and close in 15-16 trading sessions looking higher with resistance over 9600 basis the December contract. The pound settled sharply quickly ending a bull flag still looking higher but hurt by today's action. There is good support around the 16400 area basis the December contact. The Aussie dollar made a new CONTRACT HIGH but settled lower this time in reserval type action. Conversely the dollar made a new CONTACT LOW before closing higher. There were quite a few reversal type actions today but none were key reversals!
ENERGIES: 11/12/09 Higher for natural gas, crude and heating oil along with the rbob. All of the energies with the exception of natural gas are still in uptrends overall but acting choppy which happens many times at tops and bottoms of markets. Gas made a new recent low but closed higher this time in minor reversal type action
GRAINS: 11/12/09 Higher closes for Minneapolis, Kansas City and Chicago wheat along with oats, soybeans, soymeal and soyoil, mixed for corn while lower for rough rice. All of the wheat continue to show bottoming signs with MINNEAPOLIS giving me a BUY SIGNAL. Corn closed mixed after trading over four dollars(Dec.) leading me to believe its latest rally is over or at least setting up for a retracement down to the 375 area. Rice made a KEY REVERSAL which is a NEW CONTRACT HIGH and closing below the previous day's lows. Oats also settled higher with its best close since the middle of June and now close to a second buy signal. The bean complex settled higher with oil up sharply. It's pretty rare for me to have a buy signal in oil, sell in beans and nothing yet in meal!