I have been trying to pull out of my short positions on corn for the whole week in order to make my final portfolio looks better, but I failed. I missed the only window on Tuesday and the price never drop fell back again.
The crop markets started the week on a firm note. On Monday, wheat strength seemed to boost corn futures Sunday night. There was little weekend news concerning corn, with traders most often citing harvest pressure as limiting short-term rallies. Nevertheless, prices rose moderately in early-week trading, which very likely represented strength spilling over from the wheat markets. Although there was a sudden drop in the late Monday morning, the weekly Export Inspections report, along with strong soybean gains brought the corn market back.
On Tuesday, Corn futures moved lower on improved crop condition ratings and expectations for higher yield estimates. Farmer selling also seemed to pick up. USDA reported national harvest progress at 39% still well below the ten year average at 54%. At this rate of harvest completion the market perceives more seasonal pressure ahead. December futures lost 5.75 cents to $4.3825, which is the only opportunity for me to clear my contracts and end up with a not too bad portfolio, but I messed up.
Corn futures built on overnight gains Wednesday morning. Bullish corn traders were reportedly reacting to steady cash quotes this morning, with current harvest delays apparently limiting immediately available supplies. Concurrent wheat and soy gains may also be encouraging buying. Overnight into Thursday, corn futures were moderately lower. Bulls seemingly focused upon continued U.S. dollar slippage and its potentially positive impact upon demand, whereas bears argued that fine weather will allow the Corn Belt harvest to accelerate during the days ahead.
Even though we are not required to trade from now on, I will try my best to experiment with the system until the end of the term. I believe the strategy for myself and for others who plan to continue trading for a few more weeks must combine what we have learnt in our courses, such as technical analysis, market analysis, forecasting, and etc. in order to make informed decisions.
Good luck to you all!