The end of the month and end of the quarter offered some fireworks into the close as funds looked to square positions up, into the final hours of trade. The late day surge in live cattle puts us in expanded limit territory for today’s session, 4.50. Boxed beef prices have come off sharply and cash cattle is likely to do the same, but we don’t think that warrants futures prices in the low 90’s. As mentioned yesterday, technicals are all but meaningless right now, which makes finding short term entry/exit points nearly impossible. Our advice, either sit on the sidelines, plan on holding your position for the long game (consider reducing your sizing) or be out before the close regardless. Early indications are for a steady to slightly lower open.......Click this link to get the FULL report, or email Oliver@BlueLineFutures.com
The lean hog market managed to stabilize yesterday as the selling seemed to exhaust itself from last week. Just as we have seen a violent move to the downside, we could see a violent relief rally. Will that rally last? That’s debatable, but we’ve seen futures drop $14 in four sessions, if you’ve been short you will want to reward the market and consider reducing exposure. If you want to stay short futures, you may consider selling puts against the short futures, giving you more downside potential with a little protection to the upside.......Click this link to get the FULL report, or email Oliver@BlueLineFutures.com
or Email Oliver with questions/comments: Oliver@BlueLineFutures.com
Futures trading involves substantial risk of loss and may not be suitable for all investors. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC 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. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.