Another FOMC meeting has passed with no change in rates or verbiage. The lack of inflation comments are comical as gold will most likely flirt with $1200/ounce and oil is approaching $90/barrel. As a trader one cannot fight the Fed but they are just kicking the can down the road in my opinion by keeping [...]
Does any one really believe Goldman Sachs does not move the markets? Oil is approaching the same level it bounced from twice in the last week, will this hold true again? The action is too dicey for us to issue trade recommendations as we are seeing $2-3 swings on a daily basis. We like having [...]
After 8 days of rest and relaxation we are back at it trying to figure out the best risk/reward scenarios in the commodities market. It is vital in our opinion to evaluate both before establishing positions as many commodity traders just look at the reward side of the equation. After approaching $86 in early dealings Crude [...]
You cannot have your cake and eat it too! Either circumstances in the economy are getting better and we need to start looking for an exit door or we are still in for a sh-t storm and then no action is necessary! If the Fed sees the economy improving than why leave IR at an [...]
Oil broke below the support level indicated in recent sessions. This is why we chose to use May options spreads as opposed to futures; again clients own $7 Bull call spreads. If aggressive traders were long futures they should have got stopped at a loss just below $75. 3 days running natural gas has come off [...]
I have been accused of being a day trader and I’m curious to see what others think. My logic is if I can take profits quickly for clients and be in cash more often is that a bad thing? Leverage is a double edge sword but if one can navigate the markets and use small incremental moves [...]
Be cautious this week is going to get volatile! Day 1: the trend line held in oil today though it is too early to call for a reversal. A double bottom could be forming form yesterday and Fridays low; that level is just above $74 on the March contract. The only exposure our clients have [...]
Oil put in a good showing today closing $2 higher on the day, this could be the turn around we were looking for. As we reported in recent posts we feel the recent low will serve as an interim bottom and we should see prices find their way to higher ground. Clients are positioned in $5 [...]
A hush came over the commodity market until FOMC decision. The streak has ended at 9 days with Crude pushing higher today by just less than 2%. We are fairly confident that an interim bottom was established yesterday; $68.59 in the January contract. We have clients long via March $5 call spreads expecting a $5-7 [...]
Same old story in Crude, prices slightly lower on today’s session. We think Crude is a buy and have advised clients to buy March $5 call spreads. In the January contract we feel a move to $76 is possible in the coming weeks. Continued cold weather and a mega energy deal today helped natural gas [...]
