Charts of the day – August 14, 2013 (Hogs, Cotton)
- Posted by PeterLBrandt
- on August 14th, 2013
The nearby continuation chart in Cotton completed a 4+ month continuation triangle on August 7. The December contract completed a continuaition congestion on August 12, confirmed on August 13. Many traders fear buying a market that has already broken out — instead, they often get chopped up within a trading range attempting to get positioned before the breakout, then they miss the move when it happpens. Any period of weakness in a strong advancing trend is a buying opportunity.
The October Live Hog chart is attempting today to complete a 7-week rectangle. A strong close today would complete this pattern and serve as a buy signal. However, the failure of the market to breakout convincingly would be a cause for concern for long position holders.
The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.blog comments powered by Disqus
Peter Brandt entered the commodity trading business in 1976 with ContiCommodity Services, a division of Continental Grain Company. From his start in the commodity industry, Peter's goal was to trade proprietary funds. But, he first needed to learn the business. More »