Sunday, July 12, 2015

Commodities Report: DBA, JJU, KOL, GLD, SLV, PALL, PPLT, URA, USO, UNG, JO, COW, SGG, SLX, URA, CUT, WEAT

Given the critical pivoting the market is making these days I thought it best to post both daily and weekly charts.
  • Agriculturals are generally looking very strong in the long-term.
  • Precious metals like SLV and GLD are holding at critical support lines at the moment. Failure to hold would be very bearish.
  • Crude oil next week might see a little bounce but it has much further to fall.
  • Natural gas has a critical resistance line to break through.

Agriculture: DBA
  • DBA is listed as speculative short/sell.
  • The weekly chart is showing some short term over-bought qualities and I think a little retracement is still in the cards when looking at the daily chart. 
  • The EMA(34) on the daily chart is at $22.57 which is where I see this as a buying opportunity
  • The EMA's are closing in on the MA(144) though which is bullish.

Aluminum: JJU
  • JJU is a short/sell.

Coal: KOL
  • KOL is listed as a speculative long/buy
  • On the weekly chart KOL has contacted a long term support line which has served as a bottom in previous scenarios. I'm making the call, KOL is a long term buy.

Coffee: JO
  • JO is listed as a speculative long/buy.
  • Momentum continues to make positive directional movements and we are approaching the end of the dominant downward channel.
  • If $21.00 breaks down my theory of a commodities turnaround is wrong. 
  • The weekly chart indicators are showing a lot of bullish crossovers.

Commodities: DBC
  • DBC is being changed to neutral.
  • The current red channel is very much in control and a further slight decline is expected this week. 
  • A higher low may be in so target is tentatively set to $17.97.  
  • A firm bottom seems to be in at around $16.70 but the complicating issue here is that the crude oil component is dragging the other strong commodities down in the DBC index.

Copper: JJC
  • JJC is listed as a short/sell.
  • The weekly chart still looks very unhealthy.

 Corn: CORN
  • CORN is listed now listed as a long-term buy.
  • Resistance will permeate from $27.00 to $28.00 and the RSI(5) is showing overbought conditions so a pause is in order for the foreseeable future. 

Crude Oil: USO
  • USO is listed as a short/sell.
  • In the coming week we may have a pause in USO's fall, however a final collapse to $15.60 is still likely.

Gold: GLD
  • GLD is a neutral.
  • The large long term declining channel is still in control but a very solid support at $110.00 is present. Let's watch....

Lithium: LIT
  • LIT is being changed to a speculative long/buy for next week.
  • The long term chart of LIT still looks very very unhealthy and I foresee it reaching the the lowermost support red support line on the weekly chart. Long term LIT is a short/sell.
  • Medium term LIT is still a short/sell.

Livestock: COW
  • COW is listed as a short/sell.
  • Support was broken at $26.90 so this means we might see a decline to $25.50.

Natural Gas: UNG
  • UNG is a speculative long/buy.
  • Looking at the weekly chart an excellent "bottoming" pattern is appearing (although I am fearful that what has been created is a bear flag).
  • On the daily chart early in the week we should hopefully see UNG break through the diagonal resistance (blue dotted line).

Silver: SLV
  • SLV is being changed to a speculative long/buy.
  • SLV is dangerously close to falling through support at $14.50 on the weekly chart but is also making excellent progress towards the final channel resistance line. I'll play the devils advocate and say that support will hold.

Soy: SOYB
  • SOY is a long/buy in the medium term.
  • On the weekly chart an eventual rise to $21.50 looks possible.

Sugar: SGG
  • Sugar is listed as a neutral.

Timber: CUT
  • CUT is listed a short/sell
  • There might be a bounce next week but the long term outlook for CUT is negative.

Uranium: URA
  • URA is a short/sell.

Wheat: WEAT
  • WEAT is listed as a long/buy.
  • Long term wheat is looking quite strong although near term there may be a minor retracement.

Jakob Richardson © 2015