Author: Mike Seery

Silver Futures

Silver futures in the September contract settled last Friday in New York at 19.05 an ounce while currently trading at 19.75 up $0.70 for the trading week as prices have now hit a 10-month high. The US dollar is lower by 35 points today, breaking the 96 level as that is a fundamental bullish factor towards the precious metals, including silver, as I think prices will break the $20 level come next week.

I have been recommending a bullish position over the last month from around the 18.61 level. If you took that trade continue to place the stop loss under the 10-day low standing at 18.23, however, in next week's trade, the stop loss will be tightened significantly, therefore lowering the monetary risk.

Silver prices are trading far above their 20 and 100-day moving average as the trend is strong to the upside as gold prices are right at a 9-year high. I also have a bullish recommendation in platinum, as the entire sector is in the midst of a solid trend to the upside. If prices crack the $20 level, look for the volatility to expand tremendously as the price swings will have a large percentage move daily. I still think we can head up to the $25/$30 level.

TREND: HIGHER
CHART STRUCTURE: IMPROVING
VOLATILITY: HIGH

Natural Gas Futures

Natural gas futures in the September contract settled last Friday in New York at 1.85 while currently trading at 1.78 down slightly for the trading week as prices are still near a multi-decade low. Prices topped out recently on June 7th around the 1.99 level while bottoming out on June 26th at 1.58 basically right in the middle part of that range looking for a fresh trend to the upside to develop, in my opinion. Continue reading "Silver Futures Hit New 10-Month High" →

Corn Futures

Corn futures in the December contract settled last Friday in Chicago at 3.53 a bushel while currently trading at 3.54 unchanged as traders are awaiting the WASDE crop report with estimates around 2.683 billion bushels as the carryover level. Any number below that number will be construed as bullish. In contrast, any amount higher than that number would be construed as bearish as the weather will now be the short-term dictator of price action. The 7-10 day weather forecast still has above-average temperatures. However, the crop at the current time has estimates around 71% good/excellent condition.

I am not involved as I do have a bullish soybean recommendation.
However, if you are long a futures contract, I would place the stop loss under the contract low standing at 3.22 as an exit strategy. I'm keeping a close eye on this market for a bullish position as I want the chart structure to improve, and that will take another couple of days or a replacement in price.

Corn prices are still trading above their 20 and 100 a moving average as the trend is higher as prices are still hovering right near a 3 month high with the next major level of resistance at the 3.60 area and if that is broken, I think we can head up to the $4 level as I see no reason to be short.

TREND: HIGHER
CHART STRUCTURE: IMPROVING
VOLATILITY: HIGH

Soybean Futures

Soybean futures in the November contract settled last Friday in Chicago at 8.96 a bushel while currently trading at 9.01, basically unchanged for the week. I have been recommending a bullish position from around the 8.97 level. If you took that trade, continue to place the stop loss at 8.56 as an exit strategy as the chart structure will improve early in next week's trade, therefore lowering the monetary risk. Traders are awaiting this afternoon's WASDE crop report with estimates around 414 million bushel carryover as that report will certainly send volatility back into this market. Continue reading "Summer Weather Impacts Futures" →

Gold Futures

Gold futures in the August contract settled last Friday in New York at 1,780 while currently trading at 1,788 an ounce in a holiday-shortened trading week continuing it's bullish momentum as prices did crack the critical 1,800 level earlier in the week.

Currently, I am not involved as my only precious metal recommendation is a bullish silver trade. However, I do have a bullish bias as I do think gold prices will crack the 2,000 level, and if you are long a futures contract, I would place the stop-loss at the 10-day low standing at 1,753 as an exit strategy as the chart structure is outstanding at the current time. Gold prices are trading above their 20 and 100-day moving average as the trend remains to the upside as prices still finished about $9 higher today even though the jobs number came out, adding 4.8 million jobs, which is remarkable in my opinion as that is generally a fundamental bearish factor. Still, there is a lot of demand for gold at present. The Federal Reserve continues to promise that they will add more liquidity to the system with another possible 1 or 2 trillion-dollar stimulus package on the way that should continue to push gold higher, so stay long as I see no reason to be short.

TREND: HIGHER
CHART STRUCTURE: EXCELLENT
VOLATILITY: HIGH

S&P 500 Futures

The S&P 500 in the September contract is trading higher for the 4th consecutive session reacting very positively to the unemployment number, which was released today, stating that the United States added 4.8 million jobs sending prices up 41 points currently trading at 3,144 or 1.33% higher. If you've been following my previous blogs, you understand that I am not involved. Still, I do have a bullish bias as I think the equity markets will continue to move higher as I see no reason to be short as the Nasdaq-100, which has hit another all-time high in today's trade. Continue reading "Outstanding Jobs Number Catapults Futures" →

Silver Futures

Silver futures in the July contract settled last Friday in New York at 15.77 while currently trading at a 16.92 an ounce ending the week on a positive note up over $0.75 as prices have now hit a 2 month high.

I've recommended a bullish position from around the 16.10 level, and if you took that trade, continue to place the stop loss under the 10-day low, which stands at 14.76 as an exit strategy. The chart structure will improve in next week's trade as the monetary risk will also be reduced.

Silver prices are now trading above their 20 and 100-day moving average for the 1st time in 3 months. I do believe a true breakout has occurred as it would not surprise me if prices test the contract high of 19.07, which was hit on February 24th in the coming weeks ahead.

The U.S. equity market is starting to look a little vulnerable as we had one of the worst weeks in quite some time. Money flows are entering the precious metals which look very strong, and I still think silver has room to run. Continue to play this to the upside, and if you are not involved, wait for some price retracement before entering.

TREND: HIGHER
CHART STRUCTURE: IMPROVING
VOLATILITY: HIGH

Mexican Peso Futures

The Mexican Peso in the June contract settled last Friday at 4189 while currently trading at 4161 down slightly for the week still stuck in a very tight 8-week consolidation pattern looking to break out to the upside in my opinion. I will be recommending a bullish position if prices close above the 42.21 level while then placing the stop loss at 3918 as the risk would be around $1,600 per contract plus slippage and commission. Continue reading "Silver Futures Looking To Test Highs" →

S&P 500 Futures

The S&P 500 futures in the June contract settled last Friday in Chicago at 2821 while currently trading at 2904 ending the week on a positive note trading higher for the 2nd consecutive session. The bullish trend continues even though the unemployment rate is near 15%, which is the highest since the Great Depression.

I am currently not involved, but if you have been following my previous blogs, you understand that I do have a bullish bias. I think higher prices are ahead as the U.S. economy is finally starting to open up as optimism has come about, which is a terrific thing to see.

The Nasdaq-100 has now turned positive in 2020 as the technology sector is doing exceptionally well, and I still see more positive returns going forward. The S&P 500 is trading above its 20-day but still below its 100-day moving average, which is just an eyelash away at 2994. That could be broken in the next couple of weeks as the earnings season is upon us.

Volatility at the current time remains very high, and I don't think that situation is going to end anytime soon. We will now have to wait and see what the statistics are about individuals spending money at retail stores and restaurants.

TREND: HIGHER - MIXED
CHART STRUCTURE: IMPROVING
VOLATILITY: HIGH

Mexican Peso Futures

The Mexican Peso settled last week at 4023 while currently trading 4190 up over 150 points for the trading week looking to break out of its tight 7-week consolidation. If you have been following my previous blogs, you understand that I am looking at a possible bullish position to the upside.

I will be recommending a bullish position if prices Continue reading "Dismal Jobs Number Doesn't Stop Futures" →