The low in June Gold was 1659.10. Stops are still in place. Longs are still in effect.
AS for the long feeder cattle position: Cattle on feed was released to day at 2PM. Bullish, Placements were 99% vs expectations of 104.
On Feed: 93% vs 98% expected.
This is the first time in 8 reports we have been further than 5% away from expectations.
These figures are bullish. Support Tightness.
Prices should rally.
Have I seen a report which is faded? Yes. However, I don’t see anyone fading this report b/c of the size of the discrepancy between reality and what had been anticipated.
The Dow traded to 13,840 high. Just a hop skip and a jump from new highs. We should see those by month’s end, or by the First week in Feb. $ is on sidelines. Money managers don’t get paid to sit in cash. Their job is to pick stocks as in “buy stocks”. I believe that’s what they’ll be doing in large numbers over the next 4 to 6 weeks.
It seems we have seen the start of a move away from commodities into the longer term blue chip investments. People are still wondering what the tax rates will be in the future. That being said, it looks like people are betting on the long end, hoping in 4 years we might have a more business and investment friendly environment.
Have a great weekend. Remember: You can open up an account with me by following this secure link : https://www.rjobrien.com/esign/index.php?id=36030
Open the link, and follow the prompts: As a speculator, and typically as a sole proprietorship.
Thanks
CER