The M/J hog spread is bouncing up today. A couple of short term bullish divergences with the RSI are giving me optimism on my longs here. Any comments?
1) That makes more "sense" within the same crop year. It falls apart when you crossover into the next crop year, i.e. old crop to new crop spreads. 2) In a raging bull market, the market should "invert" thereby making the calculation useless.
Nice handle Mr. Hogweed, I trust your are glyphosate resistant! Any ideas on how to play a three to five year spike in the hog market? My thinking is that low prices are causing many producers to leave the industry leading to a lack of supply shock. Of course it may not happen but it could be a good trade if the R/R is right. Maybe invest in high end genetics in the form of boar seamen?
LOL, I had to look up glyphosate, that's greek to me..... Unfortunately I am a swing trader only, fundamentals are latin to me. The seasonals point up from here, but so far the spread is not responding. So for a 3 to 5 year play you're asking the wrong person.