How A Breaking Dollar Affects Grains
Presented by Heartland Investor Capital Management Inc. CTA
US Dollar:
Weekly and monthly charts show major weakness
Possible breakdown below long term support near 96
Weaker dollar supportive for export driven commodities
Federal Reserve meeting adds uncertainty
Wheat:
Kansas City wheat holding above 200 day moving average
Three consecutive closes near key resistance
Signs of fund short covering emerging
Potential rally toward 545 to 549 if support holds
Chicago wheat supported by 20 and 40 day averages
Soybeans:
Daily continuation chart shows double bottom
Gap filled near 1038 and strong rebound followed
Prices back above 200 day moving average
Soybean oil remains supportive
Argentina heat and limited rainfall may add risk premium
Corn:
Holding key retracement levels despite bearish USDA data
Cold weather logistics helped spark recent rally
Two day pullback seen as potential buying opportunity
Upside target remains 465 to 470 area
China price disparity may encourage future buying
Energy Markets:
Crude oil holding above moving average support
Potential move toward 64 to 65 area
Heating oil prone to short term spikes and pullbacks
Opportunity may emerge for future fuel buying
Outlook:
Index fund positioning may drive near term price action
Dollar trend remains critical for commodities
Political developments could influence bean oil and ethanol markets
Weather in South America remains a key variable
Technical patterns suggest improving tone across grains
Provided by:
Eugene Graner,
Heartland Investor Capitol Management, Inc., CTA
(A separate entity from Heartland Investor Services)
Past performance is not indicative of future results. The information contained in this report is intended for informational purposes only and is the opinion of the writer and may change at any time. This information was compiled from sources believed to be reliable to Heartland Investor Capital Management, Inc. but accuracy cannot be and is not guaranteed. There is no warranty, expressed or implied, in regards to this information for any particular purpose. There is SIGNIFICANT RISK of LOSS involved in trading futures and / or options on futures and may not be suitable for all investors. Investors should consider these RISKS and evaluate their suitability based on their financial conditions. No one should ever consider trading futures or options on futures with anything other than RISK CAPITAL. NO LIABILITY on the part of the author exists for any trading loss you may incur in the use of this information. The information contained in this newsletter is privileged, confidential and protected from disclosure. Any further disclosure or use, distribution, dissemination or copying of this message or any attachment is strictly prohibited. Provided by Heartland Investor Capital Management, Inc. a registered CTA with the NFA, of which Eugene Graner is principal. This entity is a separate legal entity from the Introducing Broker Heartland Investor Services.