Trading in rush

This is a quite busy week with only one trade. The investment outcome has been negative for five weeks ╮(╯﹏╰）╭ Here are my portfolio summary and overview for the 5 weeks’ trading.

I lost most on the wheat contract, which is now with a -7.63% return. I shorted it at 2 week before, and I am not willing to pull over due to my previous experience (always feel regret after pulling over). I am now wondering whether it is the time for stopping bleeding. The price of wheat keeps fluctuating this week, which dropped on Wednesday according to reports of increased competition from India and continued good weather for wheat planting in U.S… Also, higher-than-expected production from Australia and speculations that China’s actual imports of wheat could be lower than expected further dampened wheat. However, a threatened rail strike in Canada was seen supportive of wheat as it could push more export demand to U.S, therefore, the price of wheat futures rose today. In addition, the weaker dollar as well serves as a reason for the increasing price today. Since there is just a week left, 9next week I should focus more on the price and choose a relatively suitable price to stop bleeding. (The graph below shows the change of Dec. wheat price)

For other trades, I short a unit of soybean to open yesterday. After I placed the position, the price started to increase sharply due to the weak dollar. (GEE!!! I am total not a talent on prediction.) But the good news for me is that the price slipped this day afternoon because the weather forecast in the U.S. and South America is suitable for production and planting of soybean. However, the fall in soybean prices was limited on the better-than-expected monthly crush report and active buying from China. So I need to hold this contract until next also the last week. And my ‘quick money’ corn did not work quickly, it just kept a tiny loss every time when I check the open position. So I think my short-term-focused strategy is a time-consuming practice, which is more favorable for non-exam and non-assignment week. Whatever, if time permitted, I believe it will work. (The chart below is the price trend of soybean on Thu and Fri)

THANKS FOR READING AND GOOD LUCK NEXT WEEK!

SANG SHENG

2013/10/18