Home Indiana Agriculture News Bower Trading Market Strategy Report: Markets Recover Before a Slow Holiday Week

Bower Trading Market Strategy Report: Markets Recover Before a Slow Holiday Week

SHARE

Bower Trading Market Strategy Report: Markets Recover Before a Slow Holiday Week

Doug Werling

Corn and soybean markets recovered on Friday, but face a slow holiday week this week. Following the November crop report, the market first sold off and then traded sideways until Friday when we had a nice short covering bounce. Doug Werling, with Bower Trading, says the move was expected, “The fund short position is around 260,000 contracts and that is an all-time record.” He said it is not going to be one factor that generates a big rally, but rather a lot of little things that slowly lift prices.

Werling sees a number of demand factors are at work in the market, giving prices some support as we go through the winter months. But, this week is a holiday week where he says very little is going to happen, “We will start off on Monday and get less activity every day. The market will trade a short day on Friday, and that will be one of the most worthless trading days of the year. Everyone will be shopping and not trade.” Those thin markets can be quite volatile, but they can also be very dull.

For more market strategy information, contact Bower Trading at 800-533-8045 or bowertrading.com.

This material has been prepared by a sales or trading employee or agent of Bower Trading Inc and is, or is in the nature of, a solicitation. This material is not a research report prepared by Bower Trading Inc. By accepting this communication, you agree that you are an experienced user of the futures markets, capable of making independent trading decisions, and agree that you are not, and will not, rely solely on this communication in making trading decisions.
DISTRIBUTION IN SOME JURISDICTIONS MAY BE PROHIBITED OR RESTRICTED BY LAW. PERSONS IN POSSESSION OF THIS COMMUNICATION INDIRECTLY SHOULD INFORM THEMSELVES ABOUT AND OBSERVE ANY SUCH PROHIBITION OR RESTRICTIONS. TO THE EXTENT THAT YOU HAVE RECEIVED THIS COMMUNICATION INDIRECTLY AND SOLICITATIONS ARE PROHIBITED IN YOUR JURISDICTION WITHOUT REGISTRATION, THE MARKET COMMENTARY IN THIS COMMUNICATION SHOULD NOT BE CONSIDERED A SOLICITATION.

The risk of loss in trading futures and/or options is substantial and each investor and/or trader must consider whether this is a suitable investment. Past performance, whether actual or indicated by simulated historical tests of strategies, is not indicative of future results. Trading advice is based on information taken from trades and statistical services and other sources that Bower Trading Inc believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades.