Grains Journal

b1s2. if a commodity market has been printing high prices by historical standards, would it be reasonable to believe that once the front month contract nears expiration, and traders start rolling to the next month (during the last couple of weeks), price will go lower during those last few days, being lowest towards the FND/LTD?

Is this something that happens ? A reversion to the mean once large specs leave the arena ?

 

If cash is below futures, yes. But if cash continues to rise, the no, it will meet futures.

 

Where does one get cash prices for corn for example.

Isn't the cash price the same as the front month price ?

Thanks !

 

3.584 is the reaction low in my view.

 

closed corn at a small loss.

how much screen time does a person need to learn to read charts the b1s2 way!! arghhhh

 

Armed with new knowledge.

I have opened a long position on March wheat last night @ 505




stop under 502

 

Well, I would think that it would be less than other methods since I keep it so simple.

 

I am long march wheat again from wednesday.

Let's see if this time the play sticks.

 

Cashed in last night.

Filled again just now at 516 1/2.

 

I am looking at a close below 6.81 1/2 (11/16/06 low) as the decision time to either get out or go short. As long as we stay above that level, I will remain long the July Beans. Now if we get a double top and/and or strong bearish divergence then I would look at reversing as well. First and foremost, I am looking at 6.81 1/2. Close today was 701 3/4.