Comments for February 19, 2010
Looking Ahead to Friday by reflecting back on Thursday's trading action
Metals appear to be in intermediate downtrends but I'm Bullish on Cattle
METALS: 02/19/10 Higher closes Thursday for copper but lower for gold, silver and platinum. All of the metals are still in intermediate downtrends but copper has been in a good retracement rally breaking through resistance this week while closing higher seven out of the last eight tradijng sessions. This metal is now approaching the last area to take a short postion. I didn't expect the its retracement rally to go this far especially settling way above the 300 area basis the March contract. Gold, silver and platinum settled lower with no changes technically. Silver continues to look the weakest of all the metals.
MEATS: 02/19/10 CATTLE ON FEED report will be released this afternoon.. Yesterday we saw higher to sharply higher settlements for live and feeder cattle along with lean hogs and pork bellies. The cattle and feeders made new recent highs and closes which is starting be a habit as we approach the monthly cattle on feed report this afternoon. The bull market for the beef shows no end in sight but that day will come as the herds build up. Hogs settled higher again still in a topping mode while now in a resistance area. Bellies settled sharply higher and should continue its uptrend if you ever trust this commodity! I am bullish on Cattle and Feeders but have a Sell Signal for Hogs. Please feel free to contact me for details.