Cotton prices on Nov. 4 reached $1.4052 per pound, the highest price since this fibre began trading 140 years ago. Prices have doubled in the past 12 months amid a supply shortage and increasing demand, especially in emerging markets in Asia. The U.S. Department of Agriculture estimates 2010-11 world ending stocks will be down 26
Drozd: Record-high cotton prices lent underlying support to soybeans
Record-High Cotton Prices Lend Underlying Support To Soybeans
Co t t o n prices reached $1.4052 per pound Nov. 4, which is the highest price since this fibre began trading 140 years ago. Pr i c e s have doubled in the past 12 months amid a supply shortage and increasing demand, especially in emerging markets in Asia. USDA estimates 2010-11 world ending
Drozd: Record quantity of speculative long positions drives corn prices higher
Corn prices have rallied $2.50 per bushel, since the market stopped going down on June 29, 2010. Some of the buying is a result of hedgers locking in prices before the market goes higher, but to a larger degree, it’s the large speculative buy orders that have driven prices to $5.73 per bushel, a level
Drozd: Large speculative buying drives soybean prices into overhead resistance
Soybean prices have rallied $1.50 per bushel on speculative buying over the last two months. Cash prices in the Red River Valley have risen to $9.50 per bushel and this year’s crop is in relatively good condition. The U.S. soybean crop is also in very good shape with the U.S. Department of Agriculture estimating U.S.
Drozd on wheat: The trend is your friend until the end
Wheat prices rallied over $3 per bushel in as little as six weeks on speculative buying and short covering. Farmers are now wondering when the rally will end. Technical analysis is very useful for determining current trends and trend changes. Some analysts rely on moving averages and others simply draw trendlines. Here is an explanation
Drozd: A “two day reversal” alerts livestock producers to hedge meal
Soybean meal prices have rallied $42 per ton over the past few weeks. On June 9, 2010 technical analysis signaled traders and livestock producers alike to expect prices to turn back up. Technical analysis is the study of market movement. Its strength and popularity comes from the explicit assumption that future price direction can be
Drozd: Oat prices explode on a short covering rally
Although the oat futures market is the most thinly traded cereal grain market in Chicago, it still provides reliable chart patterns and technical signals on when to buy and sell. Reading a chart is much like reading a road map. It tells you where prices are going to go. Let’s begin this journey at the
Drozd: Technical signals warn investors of impending collapse in stock market
On May 6, the Dow Jones Industrial Average (DJIA) suffered a severe 1,000 point drop that sent shockwaves around the world. To this day, investors from far and wide have been trying to understand why. Ludicrous rumours surfaced, one being that someone had accidentally entered an order to sell a billion instead of a million.
Drozd: Two-week reversal alerts traders to seasonal spring rally in MGEX wheat
Fundamentally, wheat prices have been under a lot of pressure, due in part to a large world supply and a declining euro. Just as prices on the nearby wheat futures contracts at all three U.S. exchanges posted a new low for the recent move, wheat at the MGEX formed a two-week reversal. This reversal indicated
Drozd: Two-month reversal warns of euro’s impending collapse
If you think the failing euro doesn’t affect your bottom line, think again. Since the end of November 2009, the euro has lost about 12.5 per cent of its value relative to the U.S. dollar index and 15 per cent to the Canadian dollar — and this devaluation caused North American wheat to become uncompetitively
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