This is a sample entry from Brian Cullen’s email newsletter, The Cullen Outlook.
Wednesday is here…..time to ring the mid-week bell.
In the Financials:
Last week I mentioned wanting to see if the Bond market could get up to 138’00 to get short but I might not wait that long. After touching above the 137’20 level on Friday, that may be as much of a rally as we will see for the short term. Currently at 137’06, I am looking at 137’10 with a risk just shy of 138’00 This morning we have Bonds up AND the stock market trading higher….
In the Currencies:
We have our short Canadian Dollar position from 93.50 that we will manage throughout the day accordingly if we can stay below our stop of 92.90
The Australian Dollar is sitting on a trendline that I sent out on Friday. 93.10 looks like the level to see if it can hold, currently at 93.07. I would like to play a bounce off of it and go long (if it holds). Risk would be pretty close below the July 3rd low of 92.70 If we trade down to this level, with the break of the trendline, a short play down to 92.00 is not out of the question . Perhaps we have a stop order as a 2 lot?
The British Pound had a reversal day yesterday, bouncing off the recent support of 170.80 It may try to get up to the recent resistance of 171.60 (high overnight of 171.43) and at that point I wouldn’t mind selling there while risking 100 points using a mini contract (1/2 the size, $6.25 per point).
In the Metals:
I would like to see if the August Gold can find some support at the 12.90 level and get long this market. 12.90 was the level that the market did a good job defending (for the most part) throughout all of April and May before giving it up on May 27th. Risk will be a break below the 12.78 level which is where we spiked higher from on June 19th.
In the Livestock:
CHART WATCH! The October Live Cattle has massively corrected since the high of 158.00 on July 2nd, down to 149.45 this past Friday! It has been putting in higher lows the past 3 trading days in shallow trading. We may have seen mostly profit taking on the 2 day sell-off on July 9th and 10th after initially curling over to the downside. In my opinion, this market has been consolidating and taking a breather poised for another spike to 155.00 and possibly push to the 160.00 level. $1.50 lower would be a small resistance point from June 13th – 23rd…(a similar formation to what we have recently formed)
In the Grains:
After seeing yesterday’s price action (bullish hammer), I like trying to play a bounce in September Soybean Oil and buying here around 37.00. I will give the market a bit of room under yesterday’s low, around 36.20, to know that I was wrong and exit. The short term objective would be 38.50 – 39.00 (the old support levels of the beginning of June)
In the Softs:
We have a short Sugar position from 17.20 We will monitor this and manage accordingly.
The September Orange Juice has had my attention for a week or so but I have not been able to grasp a good entry. I am starting to think perhaps we just get involved here (currently at 152.00) and take it from there. CHART WATCH! Above this 152.00 level looks like it could make a nice move to 164.00 or even 168.00 Thoughts? 1 full point in OJ is $150.00
If any of these ideas interest you and you would like to give them a try, call the desk or email in and let’s get involved!
LET’S DO THIS!
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