What is going to happen with ag commodity futures in the coming months. Where are we going? We are getting closer to the ever so important growing season in the United States, and ag futures have been stuck in a rut. Specifically corn. February 8th, the USDA released another one of their important reports and traders saw a decrease in stocks/yield as well as...
The corn bear spread offers quite nice RRR 1:2. I have already entered at 4,0. My SL is set at 3,0 ($50/contract) and my PT at 6,0 ($100/contract).
This bear spread is quite cheap. I see a potential to grow to price 6,0. There is a strong S/R zone. Entry 4,0 / SL 3,0 ($50/contract) / PT 6,0 ($100/contract)
I built a bear spread ZWU19-ZWN19. There is still a chance, that the price in Wheat will rise to 550. Therefore I wait for good timing. However, it is good to have a plan already. I await an entry about 5,0, SL 4,0 ($50) and PT 10,0 ($250).
I expect to reach strong S/R 550 very soon. Then could come selling correction. Be prepared!
I built a bull spread ZSQ19-ZSU19. A possible Entry point could be around 0,0. SL -5,0 ($250/contract) and PT 10,0 ($500/contract).
Soybeans market created a strong S/R zone around 900. If the price will go up over 900 then I see a good potential for reaching 1000 or more.
An example of an intermarket spread ZSN16-ZWN16.
A breakout has come and a price reached my PT. Nice profit of $200/contract.
Intermarket spread ZSH19-ZWH19 between soybeans and wheat is extremely cheap. Moreover, oversold soybeans and overbought wheat make perfect conditions for this spread.
Wheat was overbought last few weeks and there is still a potential to decline.
Soybeans is still very low and it has no power to create lower minimum.
A bearish signal on Wheat futures with the target in the area $ 484/494 and stop loss at $ 584/585.
A bear spread with low volatility and risk. Entry at 6,0. SL 4,0 ($100/contract), PT 10,0 ($200)
Wheat is clearly overbought, thinking about selling...