Week 5 (and Things Are Looking Up, Literally)

It is week 5 and things are looking good for me. After week 1 I lost some money, I regained proper form and got some of that back.

For weeks I’ve been reading about the production problems in various parts of the world, mainly in Australia and the EU. As such, for weeks I’ve been getting used to TradeSim and waiting for prices to go high enough. With my long contracts I got the prices high enough and offset everything Thursday.

My Dec. wheat contracts only got me $11.5 per 3 contracts and my March contracts got me 1449 per 3 contracts. Now i am at $39964.37. I started the week at 33629.73.

Prices did rise because production in the EU and Australia are still bad, implying world stocks will get cut. With the US weather continuing to improve and harvest improving, demand for US wheat should increase at the end of the year. That should increase prices.(http://www.insidefutures.com/article/814454/Morning%20Grains%2010/18/12.html)

 

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