Commodity, Futures, Forex and Everything in Between

Interesting Dates Approaching in Soybeans

YOU MUST ALWAYS BE AWARE THAT THERE IS SIGNIFICANT RISK INVOLVED IN TRADING FUTURES AND/OR OPTIONS ON FUTURES AND ARE NOT SUITABLE FOR ALL INVESTORS.

Looking at the long term continuation chart in Beans, I notice several key dates from a year ago. March 22,04, the 1st day of spring was the beginning of the distribution high last year, with the front contract trading 1062. April 5,04 was the high of the year at 1064 (by the way this was exactly twice the low at 532 made on July 31,03....weird!) These anniversary dates are important to Beans. So, with the overbought levels right now, and the change of season at hand, the planting intentions on Mar 31, and last years high coming in on Apr 5, we should be expecting some kind of extreme by the first week of April. By the way, 50% of the way back up in beans is 782. This should be a good time to look at a PUT strategy for your clients.

posted by Tom Hall @ 11:32 AM