Jim Wyckoff's Top Market Ideas--July 18, 2008
December cotton futures a selling opportunity on more weakness. See on the daily bar chart that December cotton futures are in a solid 4.5-month-old downtrend on the daily bar chart. Recent price action has seen a "pause," or sideways price movement in a narrower trading range. This pause is not bullish. A downside "breakout" from that trading range (a close below solid technical support at 70.86 cents) would be another bearish technical clue to suggest still more downside price pressure to come. The downside price objective would be 60.00 cents, or below. Overhead technical resistance, for which to place a protective buy stop just above (and which is the top of the aforementioned trading range) is located at 75.20 cents.

December Kansas City wheat futures a selling opportunity on more price weakness. See on the daily bar chart that December Kansas City wheat futures are in a downtrend from the June high. Recent price action has seen a "pause," or sideways price movement in a narrower trading range. This pause is not bullish. A downside "breakout" from that trading range (a close below solid technical support at $8.54) would be another bearish technical clue to suggest still more downside price pressure in the near term. The downside price objective would be $7.00, or below. Overhead technical resistance, for which to place a protective buy stop just above, is located at $9.00.

 
September Canadian dollar futures a buying opportunity on more price strength. See on the daily bar chart that the September Canadian dollar futures are in an uptrend from the June low. Prices this week hit a fresh six-week high. A close above major psychological resistance at 1.0000 would be another bullish clue to suggest still more upside price pressure in the near term. The upside price objective would be 1.0150, or above. Solid technical support, for which to place a protective sell stop just below, is located at .9900.

 
 

 
 

 
 

 
 

 

 

 
 
 

Disclaimer:   There is a high risk of financial loss in futures and options trading. Futures trading is neither easy nor an easy way to make money. It takes hard work to have success. Please use sound money management when trading futures. Past performance is not necessarily indicative of future results. Nothing in this newsletter is intended to be a trading recommendation for you to buy or sell futures or options. All information has been obtained from sources believed to be reliable, but accuracy is not guaranteed. Readers are solely responsible for how they use this information.