Natural gas is suffering the woes of plentiful supplies this year and the lack of a catalyst to push prices higher. As a result, natural gas futures prices have dropped about 28 percent from the peak this year in March. The fundamental picture doesn’t look good at this point and the market will probably need some significant...
If you are expecting the gold market to hit record highs
again, it could be a better strategy to use a spread trade that consists of buying
silver and shorting gold. This may go contrary to logical thought, but it has
to do with silver outperforming gold historically in the acceleration phase
toward record highs.
Another Bull Market
in...
Crude oil has been through a whole lot of drama in the last
two weeks only to get back to where prices previously stood. The Saudi Arabia
bombings caused a huge price shock to the markets. Events like this will
typically either have long-term price ramifications for oil or they become
another overreaction in the markets that quickly bring prices back...
Notional funding is simply an agreement a client has with a
Commodity Trading Advisor (CTA) to trade his or her managed futures account at
a level beyond the amount of cash deposited. The amount above the cash
deposited to the adjusted trading level is called notional funds. For example, an investor could open a managed
futures account with $200,000 in cash...
As I look through the longer-term commodity charts, I see
one downtrending market after another.
The main exception is the precious metals. The weakness in commodity
prices seems to makes sense with the increased recession talk on the financial
networks. Economic growth in Europe is anemic and may be recession bound in the
near future. Now let’s not forget that the yield...
