Recent Commodities Articles

Special Update: The Dow Program

4 Jan 2010 at 9:00am
In the short run, the dollar is firming, having bounced off 2009 yearly lows. This bounce could weaken commodity prices in the short run, however I see this dollar bounce as a short-lived bear market rally, and it will set up some interesting commodity buying opportunities down the road.

Dow Program Special Update

14 Dec 2009 at 10:43am
In a July 2008 Commodities Trends article I discussed a powerful, longer-term trading tool designed to determine the direction of the stock market in general, the Dow Jones Industrial Average in particular. This methodology has accurately identified virtually every major trend in the Dow over the past 100 years.

Lessons from the Greatest Trader of All Time

16 Nov 2009 at 11:34am
It’s wise to study the lessons Jesse Livermore left us--lessons that he used to make his fortunes, lessons that, had he followed them to the end, would have made “Jesse Livermore” a household name at the time of his death.

Trade of the Month: A Cattle Spread

5 Oct 2009 at 10:41am
During years when the February cattle futures contract is trading at a discount to the April contract in the early fall, the February contract gains on the April as we move from the end of one year into the beginning of the next.

The Next Big Trade

8 Sep 2009 at 9:35am
It’s not easy to buy a market at a new high price, and this is where the fear comes in. The timid trader won’t even consider such a play. And this is exactly what I advocate as the next big trade.

The Most Important Economic Phenomenon and How to Play It

3 Aug 2009 at 12:34pm
The global economy has been deflating, and when this process is complete the opposite will take place. With the unprecedented expansion of the money supply, there will inevitably come a time when the velocity of money will come back and cause greatly accelerated inflation.

Trade of the Month: A Special Spread

5 Jul 2009 at 11:00pm
There’s a spread I truly like right now because it’s setting up for a profitable play from three distinct vantage points, technical, seasonal and fundamental.

Trade of the Month: A Soybean Re-Squeeze?

7 Jun 2009 at 11:00pm
I see a price squeeze setting up in the July soybean contract as it heads toward expiration. A price squeeze occurs when the shorts (who are obligated to deliver a commodity) can’t find the product to deliver and instead must “pay up” to get out of their short position. This is what happened last September.

Come on, Cotton

10 May 2009 at 11:00pm
Because of low prices, farmers in the cotton belt, which includes states such as Louisiana and Mississippi, planted the lowest cotton acres in 25 years. Lower acres equal lower supplies; add in a small carryover of supply from last year’s poor crop and supplies at the tail end of this crop are projected to be the smallest in seven years.

Timeless Trading Advice

26 Apr 2009 at 11:00pm
Why do so many people sell at the bottom, or buy at the top?  It’s because they’re acting emotionally instead of intellectually. There’s one simple way to avoid this: Don’t get attached to any position. Trading shouldn’t be an ego thing. There’s always another market tomorrow, and another yet the week after.