Week 10 – Wrap up.

What Went Right / Wrong in the past week’s trades:

Last week’s corn, wheat, soybeans futures all went up which favored my long contracts (3 longs on W2Z and 2 longs on S3F). My overall gain compared to the previous week is $5012.55.

Corn:

I was uncertain about the corn futures as the trading volumes appeared in a downward trend meaning weakening in the pricing trend if there’s any.  On the other hand, there’s not much new information from the fundamental point of view to allow me to make further analysis.  It seemed to me the corn futures are going to be volatile.  I meant to pay closer attention to how it’s going to pan out over the week. The corn futures (C2Z) went up by 2.3% overall last week (C2Z: opened at 826’4 on Monday and closed at 845’4 on Friday)^[1].

Wheat:

For wheat, I had anticipated the wheat futures prices to go up since the beginning of last week where I saw the ending of an inverse head and shoulder in the W2Z price chart.   The wheat futures (W2Z) went up by 1.5% overall last week (W2Z: opened at 835’4 on Monday and closed at 847’6 on Friday)^[2].

Soybeans:

Last week, I made a predication of a trend reversal in the soybeans market based on its weeks’ downward trend entering into the condition of being oversold.   It seems right and the futures prices of soybeans (S3F) went up by 2.3% overall last week (S3F: opened at 1386’6 on Monday and closed at 1418’6 on Friday)^[3].

Fundamentally, the weakening US dollars seemed to play a major part in bringing up the prices as more exports happened for that reason during last week’s trades^[4].

The Road Ahead / Cool Source of Information:

Coming into the week 10’s trading and wrapping up, I think I am going to miss it.  I have had quite a lot of fun participating in this trading game. Paying attention to daily news in the grain market started as a chore and now has turned into a habit of mine. Before this game, my sources of news were mainly the local Chinese TV/radio stations,  now I certainly have a much larger pool of cool sources of information to refer to.  I’d like to extend this habit beyond the sense and scope of the markets. When you see the news about the price of this year’s thanksgiving dinner going up, it’s really not just about the market anyways.

I’d also like to take this opportunity to thank those who inspired me over the weeks in sharing trading strategies, organizing trading blogs, understanding the TradeSim, etc.  Thank you also for sharing the ups and downs, frustrations, excitements with me and allowing me to do the same. =]

Cheers!

References:

1. CME Group. (2012, Nov 24). Corn Futures. Retrieved from http://www.cmegroup.com/trading/agricultural/grain-and-oilseed/corn_quotes_settlements_futures.html

2.CME Group. (2012, Nov 24).  Wheat Futures. Retrieved from  http://www.cmegroup.com/trading/agricultural/grain-and-oilseed/wheat_quotes_settlements_futures.html

3. CME Group.  (2012, Nov 24).  Soybeans Futures. Retrieved from http://www.cmegroup.com/trading/agricultural/grain-and-oilseed/soybean_quotes_settlements_futures.html

4. Polensek, Tom. (2012, Nov 23). U.S. grains reach multi-week highs on weak dollar, export sales. Reuters Chicago. Retrieved from http://www.grainews.ca/news/u-s-grains-reach-multi-week-highs-on-weak-dollar-export-sales/1001879167/