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Soybean Oil FuturesSS

Soybean Oil Futures

50.47USX / LBRD
+0.55+1.10%
As of today at 13:53 GMT
USX / LBR
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ZL1! trade ideas

Soybean Oil (Neutral so far)We can't be sure at this point that in the short term soy bean oil is going to continue to move up even though we had multiple 1h tests on a major 1D prior LH level from above.We can spot an ascending channel on the daily time frame, in which the price is near the top line. In the previous 2 occasions when the price reached this level it promptly corrected down to the lower line of the channel. The volume is also dcreasing on this occasion, looking more and more like a reversal. If however, we breakout of the top of the channel in the near term with a confident test from above, a potential Long trade is possible.
CBOT:ZLZ2021
by mordkovich199
ZLZ20218.27.21 ZLZ2021 Fussy Logic Part 2: Alright looking to call this fuzzy logic part two but really this is about markets that have complex algorithms which will work, and each one may give the advantage to the buyer or the seller. To some degree multiple algorithms are correct and their magic will be associated with the initial trade location. One possible algorithm could be associated with the way markets fill gaps. I personally believe that there is a certain algorithm to markets at support lines and resistance lines and that it is not particularly difficult to understand, but the trade decision may be more complex in practical terms. I would recommend listening to part one, and then listening to part two. The underlying message is that it is probably more advantageous to identify some of these subtle behaviors even though this adds a little bit of complexity and potentially complicates your trade decision. My belief is that from a longer timeframe perspective if you don't freak out at more observations and more variables, it will actually help your trading... If you give it time and patience. Some people require less information and that matters. I am okay with more information, but I can tell you that my trade decision boils down to very few variables at the point of making the trade decision. In other words I would like to think I take in the broader scope, I honed in on the more recent behavior, and then I have relatively wanted to variables to decide my trade decision. I can tell you this, if I am clearly not sure of the market, and I see no particular advantage to the trade that I am considering, my shut off valve automatically defaults to the decision not to take the trade, at that point I absolutely let it go. It's the only way for me to reduce unnecessary stress. I'm in or I'm not, and of the story. There is another issue that one of my students has. It is a ubiquitous issue for traders, and that is that she'll get into a trade at times and she will be up all night watching that trade. This is a very big problem, and it can lead to burnout... even though you are trading profitably. We will talk about this on future videos.
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by ScottBogatin
ZLZ20218.26.21 If you don't read this section, the video may be a little confusing. This is a video for my student who took a long trade in soybean oil yesterday, and I didn't like the trade. My students take trades that I don't like all the time, and I'm perfectly fine with that. Frequently they make money, and I'm very happy about that. At one point my students would have liked it if we opened up a private room and traded together, and I didn't want to do that at all for lots of reasons. On the other hand, if they tell me they are in a trade, I assume that they will anticipate my comments. If they tell me about the trade after it's done, then I can't comment (until after the trade). Since I don't spend a lot of time on soybean oil, I had to talk through the chart to clarify my point of view. You may or may not like my analysis nor my conclusions, but that video is absolutely typical of how I look at a chart and reason through the chart my points of view. It might take me five minutes if I don't have to produce video, but this is exactly how I do it. I always look to the left it gives me something to compare to the future. I don't care if it takes five minutes or even 10 minutes when I can easily lose $1000 or more if I make the wrong trade decision. It gives me more time to think like a buyer and a seller and where I would want to take a trade. It doesn't break my heart if my student didn't see that large ABCD pattern even though it's too late to do something about it. It does not break my heart if my student didn't take the long at the double bottom. But she follows that market, and the chances are good that she might have caught that double bottom two or three days earlier...And maybe she did, and she didn't like the trade at that trade location. My biggest concern is that my students do not stare at the chart with no specific way of analyzing the market, and from that point taking a trade without a thoughtful reason. If they think before they act they both will make money. They are both profitable traders...and getting measurably better.
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by ScottBogatin
ZLZ20218.11.21 Soybean Oil The other day I decided to turn a phone chat into a mentoring session since my students and I had never had a session like this. These sessions can be stressful for student because they are going to be asked questions and they are going to have to show their thinking through their chart... And it's very easy to get nervous over this. The reason the sessions are good is because it forces the student to think a little bit differently with deliberate questions and slightly different analysis. It opens the student up to different possibilities in a very productive way. My belief is that if you talk to people who have ideas and you see that they are looking at things slightly different than you you're forced to interact with that other person. This is important because it's very easy to spend months and years trying to trade but your internal dialogue isn't deliberate enough and organized enough to really help your trading. It's okay to trade with a gut level feel, but you actually want to do that when you already have the ability to systematically ask the questions that pertain to the market you are trying to trade and do this in a fairly conscious organized way. I would say with most traders who are not successful they're not doing that. They may have a lot of knowledge about the market but you still have to think about the market when you are about to take on risk. When you have mentoring sessions that present contrast in alternative ways of evaluation, you are essentially talking about the market with another person. But it's very easy when you're trading alone to be less thorough and less prepared for the trade and that will work against you. You not only want to look at the markets to get the best result on a trade, but you want to look at markets to discern when it may not be worth your time, or the marketIn any case, some trades are better than others, and you want to know what that looks like. might be too difficult to trade because of the market.
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by ScottBogatin
Soybean oil Palm Oil SpreadSoybean Oil and Palm oil Spread. From CME: Soybean oil and palm oil dominate the marketplace and account for roughly 62% of the total world production of edible oils. Both are considered "substitute goods" because food processors often switch between the two ingredients as the prices fluctuate. Theoretically this should limit the variability in price spread between the two markets, but that is not always the case. World soybean production is centered mostly in the U.S., Brazil and Argentina, and most of the world's palm oil comes from Indonesia and Malaysia. Several factors - drought, production difficulties and shifts in demand - can create tremendous volatility in the spread relationship.
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by CCYong