Cattle futures have gotten hit hard over the last few weeks as headline risk coupled with bearish seasonal tendencies have led to long liquidation from Funds.
The selling pressure accelerated on March 26th as headlines of Avian flue spreading to (dairy) cattle in Texas and Kansas swept across all the different agricultural news wires and raised concerns of...
This commodity has been trending since 2020, and recently made a new high just after a moderate pullback.
It is going up in a straight line, currently hovering around resistance/support, the MA100 started pointing up and the price made a bullish pattern.
The target for such a pattern is approximately the size of the pole which brings us to about 210.
With...
Cattle futures just came back to previous resistance. we had a really good rejections.
I expect donwside movement.
Dont forget to setup the stop loss!!!
Brazilian cattle had a potential up leg.. but it wasnt sustained by demand...mainly due our main buyer is china that actually is not in a good economic shape. For moment trend down!
Technical Outlook:
Live Cattle futures have enjoyed a tremendous rally over the last 3 weeks - up nearly $10 since just the beginning of February. But is the rally showing fatigue? Prices are beginning to stall out near the 61.8% retracement of the all-time-highs in October to the lows in late December. Moreover, momentum signatures are slowing - showing...
In a previous article, "A Beefy Premium" , we delved into the growing divergence between Live Cattle and Lean Hogs. Since then, this disparity has only broadened.
Currently, we're seeing a historic peak in both the absolute price difference (Live Cattle – Lean Hog) and the price ratio (Live Cattle/Lean Hog). To comprehend the drivers of this divergence,...
Rising wedge. 60% of these break down. Confluently, the monthly stochastic RSI is topping and the monthly RSI is screaming overbought. I expect a possible and highly probable drawdown of 7-13% over the next 6-9 months. Nothing is for certain, however, so please exercise sound risk management.
December Live Cattle has been in a virtual free-fall since making contract highs back on September 19th. We’ve sold off nearly $7 since scoring the new high. To say it’s been a remarkable year for live cattle futures would be an understatement - we’ve made all time highs, and bucked bearish seasonal tendencies along the way. The strength observed across the...
Live Cattle Futures is probably an asset that you have never looked at and never thought to trade.
However, it has been in it's own bull market for the past 3 years !
Having said that, now the chart is showing clear weakness and giving us the perfect entry to the trade with an incredibly low risk and high potential reward. Hitting the first tp would keep it...
CME: Live Cattle ( CME:LE1! ), Lean Hog ( CME:HE1! )
Last month, the Bureau of Labor Statistics (BLS) reported that US inflation on food items was 5.7% in June, exactly half of its peak of 11.4% in August 2022. Food inflation is at its lowest level since November 2021.
Under the sub-category “Meats, poultry, fish, and eggs” from Food-at-home, the BLS data shows...
6.21.23 This video Is about cattle markets. The video turned out a little differently than I had planned,it turned out to be the whole video before I ran out of time. But I think it went okayI will have to do a video on gold and silver which is the real reason why I got up today to do a video. If you like the video please put a thumbs up.
Damn my steaks are still getting more expensive. Don't think the inflation battle is over just yet.
Can't call Powell an idiot this time since he maintained a hawkish stance, but I think the Feds are underestimating how high rates need to go since they can't reduce their balance sheet.
6.8.23 There is a reason why I suddenly picked cattle as a market that we could trade. It's a market that has tremendous profit potential and it was about to make new highs... and yet there will be tons of dead bodies.... the bodies of traders who tried to short the market.... and other bodies of Traders who went long in the market.... and they both lose money. ...
6.6.23 This video Focuses on gold and the possibility that the market is going to move higher or lower... it is Unclear... and that means it's not clear To define your edge. At the end of the video I decided to show you the cattle market because I believe this is a market that will give you lots of good trades for buyers and sellers because of its volatility.......
CME: Live Cattle ( CME:LE1! ), Lean Hog ( CME:HE1! )
When I started my career in commodity futures two decades ago, I took lectures from a former trader at the CME livestock pit. Mike used his favorite trade to explain the complex concept of inter-commodity spread. Here it is:
Beef and pork typically had a retail price difference of $1 per pound. For example, a...
Live cattle recently hit an all-time high, leaving us wondering if the rally has gone too far. The front month contract reached 177 on April 13, surpassing the previous record set in November 2014. Meanwhile, lean hogs have been trading lower since last year.
One way to assess this trend is to look at the spread between the two livestock markets. Both the...
