• Market Movers: 12 July WASDE & Crop Production Reports

  • Introduction

    Dave Hightower and Virginia McGathery talk about the WASDE & Crop production reports focusing on the Agricultural markets in corn and soybeans. She said that she thinks that things will balance out a little better than they have in the past couple of reports. The last report they talked about El Nino which gave us a lot of volatility. She thinks we are going to see some selling fatigue. For corn in some areas it’s 20 cents below production cost cause financial problems for farmers all across the country. 

    She suggested doing a spread and to buy 1 SDNC Sept. 350 Corn Put for `5 cents or better and to buy 1 Dec. Futures at 350. 

    For Soybeans she suggest to sell 1 SDNC Sept. 1050 Put at 46 cents and sell 1 soybean Nov. Future 1050.

  • Conclusion

    While they only talk about the fundamentals and weather I am more of a technical trader. I think the charts will tell you more that the fundamentals. I don’t mean that you don’t position yourself in front of a major report like the WASDE but pay even closer attention to support and resistance levels and Fibonacci retracement levels. I think the large commercial traders really “control” the market and you can follow what they are doing just by looking at the COT reports every week.

  • 1 comment

    what is WASDE