Warning: array_merge(): Argument #1 is not an array in /var/www/www.sfomag.com/helper.php on line 199 Warning: Invalid argument supplied for foreach() in /var/www/www.sfomag.com/helper.php on line 200 SFO

Market Commentary

More Market Commentary

October Live Cattle Futures: Trading Idea August 20, 2014

October Live Cattle Futures a Selling Opportunity on More Price Weakness

 See on the daily bar chart for October live cattle that prices are in a steep three-week-old downtrend. A bearish pennant pattern has formed and price action has seen a downside “breakout” from that pattern. The bears have near-term technical momentum. A move below $146.00 would become a selling opportunity. The downside price objective would be $138.00 or below. Technical resistance, for which to place a protective buy...

Aug 20, 2014
Read More

And A Bit More Strength To Ponder

Despite the dirty facts on the ground, the breathless media is amazingly quiet. Perhaps it has lost interest in the constant warfare in Gaza, Iraq, Syria, and Ukraine. Maybe the news hasn’t played out as a thriller with the market. Given the recent market rebound, it is not a bad conclusion to draw – the market is simply not interested in the dirty facts.

And really, why would it be? As I said, the only potential economic issue with all of those wars is the real war going on between Russia an...

Aug 20, 2014
Read More
banner_image

Transition From Old Crop To New Crop: Musical Chairs For Beans

There continues to be optimal seasonal crop condition ratings for soybeans in Iowa, Illinois, and Indiana, high yield counts from the Pro Farmer Crop Tour this week for Nebraska, South Dakota, and Ohio, along with continued favorable central US weather forecasts that have continued to pressure corn and soybean values.

The volume of trade has been moderate with traders watching to see if strong domestic cash soy markets can offer a supportive hand to new crop soybeans for November and January ...

Aug 20, 2014
Read More
banner_image

The 5 Trader Personalities- Part 5: The Engineer

One’s personality is like the water a fish swims in. It colors our perceptions and decisions in a global manner that we are usually quite naive about. Frankly, one’s personality quirks often get a pass from others in the course of daily life , but when it comes to the financial arena, our personality strongly affects our bottom-line results.  

[Note: In my work with top traders I’ve developed a model that helps traders and investors understand themselves better.  This is Part 5 of a 5 Part se...

Aug 20, 2014
Read More
banner_image

Stock Watch: NetSuite Sees Accumulation By Large Players

As the market rally continues to mature, start looking for some of the "dregs" to get pulled back up.

"Dregs" stocks are former high flyers that have not had a particularly good run of things. This can be due to a drop in earnings growth or just bad luck from a lack of momentum.

Shorts Get Greedy

Either way, dregs stocks become beaten down and shorts start getting greedy. If these stocks start basing out, there will be buy stops hit from shorts as well as those looking to initiate new position...

Aug 20, 2014
Read More

Featured Stories

More Featured Stories
banner_image

Use Oscillators To Determine Market Direction (Or Not)

Oscillators come in a number of different forms such as stochastic, relative strength and the commodity channel index.  Although the mathematical equations are different in each, the underlying principal by which oscillator calculations are made remains the same. 

How They Work

All oscillators compare the high and low of a given market move to its close.  This is the reason that oscillators are a bounded set of indicators. As the close of a market move approaches its high, the oscillator tra...

Aug 20, 2014
Read More
banner_image

The Professional Traders Opinion: Russian Sanctions Smoot-Hawley Revisited


Russia was once described by Sir Winston Churchill, as “a riddle wrapped in a mystery inside an enigma.”  Those words, spoken in 1939, eloquently described the Western sense of Moscow as inscrutable and a menacing country that plays by its own rules; perhaps they are no different now with the extraordinary exception that today’s Russia is dressed in diplomat’s pinstripes folded around a pugilist’s muscle with a checkbook of an oil baron.  

What’s more, today Russia, along with China, Brazil, I...

Read More
banner_image

Go Long: Concerns Over the Chinese Yuan’s Weakness Are Overblown

On March 6, 2013 we initiated a long recommendation for our clients on the Chinese currency, the yuan, through the purchase of offshore, yuan-denominated bonds an exchange traded fund.   DSUM closed 2013 with a 6.32% gain, the year’s best-performing bond instrument on a risk-adjusted basis, compared to a dismal performance of -4.83% for the average emerging market bond fund.

After this stellar performance, this year’s weakness in the yuan is no surprise to us.  While the U.S. Treasury and th...

Aug 18, 2014
Read More
banner_image

Trading Psychology: Clear Your Head

As traders, we try to maintain a high level of concentration and performance at all times. The focus is on trading plans and processes, risk and reward, indicators and charts, coding and strategies, and about a million other possibilities at any given time. Truly, it is impossible for any human to keep track of all the information available.

When you get to the point where nothing makes sense it’s time to look away for awhile. I call this “data fatigue” and it occurs on many time frames. In t...

Aug 18, 2014
Read More
banner_image

Alternative Assets: The Coming Silver Short Squeeze

Last year, total mine production of silver was 819 million ounces, but demand for silver was 1.1 billion ounces.

Therefore, there was a 262 million ounce shortfall in silver. Thus far, the shortage has been mostly met by using recycled silver and from government stockpiles. Even so, the shortage is there.

Looking At The Numbers

Recently published data points argued that recycled silver cannot continue to meet the gap between supply and demand. The supply of recycled silver dropped 24% last ye...

Aug 14, 2014
Read More