Subscribe to The MasterCharts by Email
Looks like the grains complex is preparing for a big bull market. The main reason seems to be the climate.
Grain prices tend to be volatile. So buy and hold is not the answer.
Better to trade the grains.
Attachments 1 to 3 are daily charts of the futures contracts of Corn, Wheat and Soybeans. All of them had positive price changes in the last 2 days.
The long-term charts (attachment 4-6) reveal how depressed grain prices have been over the years. All bear markets are coming ultimately to an end and our programs are calling for a change to come.
What to buy?
JJG (iPath A Series B Bloomberg Grains Subindex Total Return ETN) US$ 39.72 (attachment 7). Soybeans are weighted with 46.5%, wheat 29.9% and corn 23.5%.
There are also individual funds on these grains. They track an index of futures contracts. It includes the 2nd and 3rd contracts to expire, as well as the contract expiring in the December following the third contract.
Teucrium Corn Fund, symbol $CORN (US$ 12.11) (attachment 8)
Teucrium Wheat Fund, symbol WEAT US$ 5.11 (attachment 9)
Teucrium Soybeans Fund, symbol SOYB US$ 14.32 (attachment 10).
Grain prices tend to be volatile. So buy and hold is not the answer.
Better to trade the grains.
No comments:
Post a Comment
Commented on The MasterCharts