Traders Helping Traders Daily Update for Thursday, July 28, 2005

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Erich's Update for Thursday, July 28, 2005 ==================================================
Hot off the commodity presses to you!

"Don't be fooled by the calendar. There are only as many days in the year as you make use of." - Charles Richards
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1: SEPTEMBER CORN
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CU5 O=5 1/2 HI=7 LO=3 1/2 CL=6 1/2

The corn see-saw continued today as prices made nearly the same range as yesterday. I'd really like to put a corn trade together again, but there is no direction to the market at all. Technically we're in a downtrend so I'd prefer to sell, but it's really slim pickin's.
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2: DECEMBER COTTON
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CTZ5 O=05 HI=080 LO=95 CL=46

Got a lower session today, but it was a strange one as the market gapped lower only to rally higher for the rest of the day. RSI did hook off the trendline which is encouraging, and the higher close does allow us a little safety in selling tomorrow.

*SELL December Cotton at 5089
*Stop 5126
*Approximate Risk Exposure: $185 per contract
*Profit Target: 4942
*Approximate Profit Potential: $735 per contract
*RRR: 3 1/2:1
*Degree of Risk: Moderate to HIGH
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3: DECEMBER BEAN OIL
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BOZ5 O=78 HI=90 LO=60 CL=65

Another trendless day in bean oil as prices continue to battle support. The weekly chart shows the market holding the trendline pretty well, so I would probably wait for a test of the 2415 area before trying to sell.

Conversely a break above yesterday's high could get me thinking "buy" again.
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4: AUGUST LIVE CATTLE
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LCQ5 O=00 HI=50 LO=90 CL=35

See, now aren't you glad you took your loss early? It's never fun losing money, but the next best thing to a winning trade is getting out of a bad trade early. Okay, that might be stretching it a bit, but if we were still short cattle we would have ended up losing even more today.

Like so many markets right now cattle is just wandering and as such is extremely difficult to trade. We've been stopped out of two sells so it looks likely that we could get a rally - at least for the short term.

We'll wait and see.
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5: SEPTEMBER COCOA
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CCU5 O=42 HI=63 LO=42 CL=58

Got a nice fill on our cocoa trade today as prices finally broke resistance. Bring stops to breakeven for tomorrow's session in case we see prices do a quick "about face".

First stop is the resistance at 1500, but we might try to run this one a little higher, market permitting.
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6: SEPTEMBER WHEAT
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WU5 O=29 HI=31 LO=28 CL=30 1/2

Small day for wheat as prices traded within yesterday's ranges. Normally we can count on wheat to set the pace for the other markets, but not this week. This market is as aimless as the rest.

Oh well, better break out the Yahtzee game...this might take a while.
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7: SEPTEMBER CANADIAN DOLLAR
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CDU5 O=84 HI=28 LO=57 CL=98

The CD certainly didn't do what I was hoping for today, namely a bounce off of yesterday's support, instead the market made a hard move to the downside, right to the 8050 support area.

The CD has moved quite a bit to the downside the last couple of days and as such I think a reaction is due which should allow us to re-enter in a few days.
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8: SEPTEMBER COPPER
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HGU5 O=0.60 HI=3.50 LO=0.10 CL=2.70

Seems like all our finger crossing and breath holding paid off today as copper took off from the 160.10 support area. We can safely bring stops to break even now, or if you prefer the 162 resistance from the other day.

This is one of the few markets that appears to be trending well. First profit target is resistance at 168.50.
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9: JUNE EURODOLLAR
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EDM6 O=.675 HI=.675 LO=.605 CL=.61

The Eurodollar did not disappoint today as rates fell off in a big way. There were some secondary market reports released which probably spurred rates lower but what ever the reason we are nearly to our first profit target at 95.55.

Bring exit stops above today's resistance, or if you prefer something a little tighter, use the intraday resistance at 9564.

This is another market that appears to be trending pretty well. Maybe we will be able to ride it lower still after battling 9555.
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10: WILD CARD
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No wild card market - yet.
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RECOMMENDED BROKER
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If you are looking for a broker that understands the recommendations and could help you place them, call Matt Zimberg at his toll free trading desk at 1-800-771-6PIT [or (561)282-6848]. You can also reach him via email at Admin@OptimusFutures.com