With Friday’s commitment of Traders showing soybeans with a heavy net long position, and support starting to break on the Nov/July spread, I’d like to attempt to catch a ride back toward -0.05, where we spent the better part of six months recently.
Cotton continues to push lower, helped along today by a bearish USDA forecast on supply/demand for the year ahead.
Yesterday’s “bullish hammer’ candlestick is a positive formation for the bulls to take another crack at bat here.
The cotton market has started to curl over the past couple of sessions as we have entered into a bearish old crop vs. new crop seasonal window.
The driver for the Gold market currently seems to be sentiment! The safe-haven aspects of the metal may have been a boost for the Gold, but will it be enough to propel it to further uptrends.
The Gold has bounced after the awaited Fed rate hike. It is unusual that Gold would trade up as the Crude Oil continues to slide.
The US Dollar has decreased giving Gold a temporary bounce ahead of the muchly anticipated Fed meeting next week where a hike may be within the monetary policy.
Finally the oversold Gold bounced in light of the US Dollar weakening! The Gold may takes cues from the US Dollar and the Crude Oil from time to time
The Chinese rate cut should have bolstered the Gold somewhat yet the Gold is clearly in a downtrend currently. Investors should be buying Gold in other currencies with the rate cuts in mind.
The governments seem to be devaluating their currencies and foreign entities do not seem keen to allocate to currencies as they would Treasuries or the precious metals.