Commodities

Discussion in 'Technical Analysis' started by countryBoy641, Oct 9, 2020.

  1. Anybody notice a lot of the AGs are picking up.
    See Wheat?
     
    jillchambers likes this.
  2. wheat.jpg
     
  3. maxinger

    maxinger

    since 2016, wheat futures have been moving rather sluggishly.


    around 2007 to 2012, its movement was huge.

    Perhaps wheat farmers / traders can better explain what happened.
     
  4. narafa

    narafa

    Expectations of higher inflation due to massive stimulus & money printing, which this time (As opposed to 2008/2009) went directly to corporates and consumers rather than financial institutions.

    This is what mainly drove Gold, Silver & Copper rallies and is driving those Agris rallies in the last couple of weeks. Agris are considered the leaders in the food commodities complex. I would expect more rallies to come and also other commodities will catch the same flu sooner or later.
     
  5. Everybody says inflation is dead, and the FED wants inflation >2.00%, as if that should be so very difficult with an exploding Money supply.
    Is everybody on the wrong side of this trade?

    $CRB.jpg
     
    Last edited: Oct 9, 2020
    vanzandt likes this.
  6. $money supply.jpg
     
  7. Update on the WEAT chart. It's up 5% in a few weeks.
    Not that I am saying anything, WOW look at that, look at that ...
    A lot of stuff moves 5% in few weeks.
    But I am just thinking back, I used to be Series 7 (April, 1982), and would look through the Mansfield chart book looking for saucer patterns to buy. Problem was, most of them were on the verge of bankruptcy. In which case the trade wouldn't work.

    And then there were saucers that didn't go bankrupt for years, but the trade had no power.
    For example Eastman Kodak. They were in the early stages of being eclipsed by a new business paradigm (digital photos).
    They were missing the boat, and didn't even think about getting a ticket.

    WEAT is commodity tracker ETF,
    1) has no balance sheet and is not going bankrupt, ever
    2) Has no replacement, that anybody who is alive is contemplating (same with CORN and other AGS like that).
    Some people allege that crude oil is going away, eclipsed by lithium batteries. Jury is still out on that.
    Nobody is saying anything like that about basic AGs.

    Just wondering why this is such a "yawner" for sharp folks who are trading the markets.
    What am I missing??
     
    beginner66 likes this.
  8. Dollardogs

    Dollardogs

    This thread has me thinking of Woody Allen's Love and Death

    [​IMG]
     
  9. I think that’s true. Many people are expecting inflation at this moment.
     
  10. vanzandt

    vanzandt

    You saw it before most.
    Except me maybe. ;)

    Even this one before anyone was talking about it:

     
    #10     Nov 1, 2021