Cotton Seasonals

Another of WSC Spreads going off the board this week with great profits!

0343-2d.gif
 
Quote from gary:

what u are doing is wrong!
Why Gary,
if you are referring to the above post, the trade has already run its course. It closed out today with profits of over $3,000.00 per spread.

Nobody is going to lose any money on this trade because of this post. It is to late for anyone to take any unfair advantage. It shows in hindsight the value of seasonal spread charts.

Look at the date of the post and the date of the chart.

When someone puts up next months charts, then I think you might have a case. In this case, combined with my previous posts, it shows what can be done trading seasonal spreads. Even if I myself may or may not have gotten the same results due to improper position sizing. You could have done it!

Also, what I said was speculative. Prices could have stayed the same or as with previous charts gone south.

If someone comes here to do research in the futures, (not to distant future as the charts disappear), When traders come here for research I am offering something of priceless value.

reelc02.140.jpg
Now on the other hand if you think it is wrong for us to be profiting from the work of the people in the fields, that's a whole different thing. We provide liquidity to the market at the risk of our own capital. If the producer wants to sell it to us at the market price, just so we can endure limited seasonal risks, and maybe resell it at scarcer times. That is a voluntary transaction between multiple parties.

What was it you wanted to offer Gary?
 
Quote from -ooO-(GoldTrade:

Why Gary,
if you are referring to the above post, the trade has already run its course. It closed out today with profits of over $3,000.00 per spread.

Nobody is going to lose any money on this trade because of this post. It is to late for anyone to take any unfair advantage. It shows in hindsight the value of seasonal spread charts.

Look at the date of the post and the date of the chart.

When someone puts up next months charts, then I think you might have a case. In this case, combined with my previous posts, it shows what can be done trading seasonal spreads. Even if I myself may or may not have gotten the same results due to improper position sizing. You could have done it!

Also, what I said was speculative. Prices could have stayed the same or as with previous charts gone south.

If someone comes here to do research in the futures, (not to distant future as the charts disappear), When traders come here for research I am offering something of priceless value.

reelc02.140.jpg
Now on the other hand if you think it is wrong for us to be profiting from the work of the people in the fields, that's a whole different thing. We provide liquidity to the market at the risk of our own capital. If the producer wants to sell it to us at the market price, just so we can endure limited seasonal risks, and maybe resell it at scarcer times. That is a voluntary transaction between multiple parties.

What was it you wanted to offer Gary?



Do you trade the Cotton Futures or just the spreads/Options?
 
Quote from T-REX:Do you trade the Cotton Futures or just the spreads/Options?
Aloha T-Rex,
T-Rex we have been getting tremendous results trading Spreads on Futures. The Cotton trade was just an example of the research we have been getting from Jerry Toepke in his "WSC!" “Weekly Spread Commentary.” My posts will show that I have been advising new traders to start with only the Seasonal Calendar Spreads, which this $3,000.00 winning "Cotton Spread," was.

The "WSC," has a non-calendar going off the boards today with yesterday profits of $1665.00

0345-2d.gif


Here are Elite links about "Spread Trading, in no particular order.

”Spread Trading!”

”Spread Trading multi-positioning trading strategies!”

”Spread Trading: Averaging Up”

”Spread Trading: Margin”

”Spread Trading: How to place a stop order”

”Spread Trading: Charting”

Search on "Seasonal Spread Library," in Amazon for a complete listing of ”Books!”
69_foto.jpg
 

Cotton Futures under pressure
GLOBAL: Cotton Futures May Drift Down

http://www.bharattextile.com/newsitems/1988841

NYCE cotton futures ended modestly higher last week due to fund buying on talks that China is expected to purchase several million bales. Close attention is being paid to any move by China to step up cotton purchases in the market. As of the last USDA weekly export sales data, China has bought 4.09 million RBs of US upland cotton in the 2003-04 marketing year (August/July), against purchases of 1.02 million RBs at this time last year.
Cotton futures would be thin and direction less as the market braces for the release of the monthly USDA supply-demand report to be released soon. The weekly USDA export sales report came in quite positive for futures, which was better than the market expectations.

USDA said US cotton shipments hit 318,000 running bales (RBs, 500-lbs each), versus trade belief that it would range from 200,000-250,000 RBs. The US cotton industry has to export more than 300,000 RBs in the remaining weeks of the 2003-04 marketing year (August-July) to reach the USDA projection of U.S. cotton exports reaching 13.2 million (480-lb) bales. US net upland cotton sales stood at 148,100 RBs.

The active May contract tested the resistance levels and retraced from there sharply. The neckline point at 66.35c will be a good support level now. As mentioned last week, a double bottom pattern was seen with the fractal tops at 76c as an important resistance level. Prices retraced even before reaching there.
The head and shoulder pattern we have been talking in our earlier up dates with the neckline point at 64.65c is still alive. A daily close above the fractal top at 76c will negate the possibility of the bearish head and shoulder pattern and further bullishness will set in. We still stick to the same wave count of a wave C is in progress as long as 76c is not broken on the higher side. The move from the peak at 84.25 to 65c is possibly a corrective wave A and the subsequent pullback to 76.20c is a wave B. The current move should be a wave C targeting close to 58c. RSI after being in the overbought zone moved lower indicating a correction to set in.

The averages, in MACD are on the verge of a cross over of the zero line in the indicator. Current prices are lower than the short- term average of 9 day EMA at 70.03c and the 50-day EMA is at 70.30cents. Look for prices to consolidate and move lower. Resistances seen at 73.95, 76, & 79c. Supports at 70.25, 68.50, & 64c respectively.

Source: Business Line
 
Gosh I have seen sharks trying to offer $45 round turn trades but that is also ok if you make money. I am just wondering how they justify this price...
The problem with spreads that you pay double commission..but you also lose/whipsaw less if play it right...
 
Back
Top