HERE IS WHAT I AM DOING NOW

The following are the 4 current trades I have on and a little commentary on each. I will also cover a couple of possible trades for this coming week.

Here is the Copper trade I am long. I mentioned in here recently this market was a bullish setup and we have risen nicely. At this point I am trailing stops and hoping to get into 315 or even the 325 area as a profit target. In the mean time I will just trail a stop and see what happens.

Here again is the weekly chart and why I was bullish on this market. We had strong commercial buying while open interest was declining. At the same time the Small Speculators had gotten to a pretty big net short position. We also had a seasonal up bias at the same time. This told me to look to the daily charts for a long entry. I had to wait a week or two but it came along.

Next up, SUGAR.

The one problem this trade has is one of my trend indicators has not come along for the ride yet after 5 days in this trade. I do not like that so I may not stay in this much longer. At the very least my stop is going to be close on Monday here. Sometimes I front run these indicators but they generally catch up after a couple of days when my front running was correct. This has not happened here yet. I need to give this some thought this weekend as to how I will proceed next week.

The EURO

Here I went long just two days ago. I really had a bearish setup in the DX but played here because I thought it would move more. Neither one has really moved much although both have gone in the direction I thought so far. Another market I need to study more this weekend. This market had a very bullish setup fundamentally due to record commercial longs. You don't see something like this too often with the COT report.

If you look a couple weeks back here you can see the record commercial longs in red and small speculator shorts in green. This told us all the insiders were betting on higher prices and the individual investors betting on a decline. This movie ends the same way every time no matter how many times you watch it.

The cattle trade I posted yesterday so I am not going to repost that. In the equity markets I did say that I did not expect a major selloff. We certainly had a good one, more than I thought, but not what I would consider a major selloff. In general I had been looking to buy a dip, but we have declined a bit more than I would like, so I think selling a rally is likely to be my next trade there. I might try to play individual stock longs this week just due to how oversold we are, but they will have short leashes on them if I do it.

Bonds I had been looking to short but they too moved a bit more than what I wanted negating the setup. They do appear to be making a triple divergence here in a negative fashion, so I will be watching closely here for an entry setup. The short setups in the metals ( Gold and Silver ) are gone for the moment, so I do not see a trade there this coming week. Natural Gas appears to be setting up a short if we move up another day or two, and I am also watching Crude for a short.