Thursday, July 21, 2011

Feeder Cattle - switched to October contract

It's still looking like a nice entry at $134ish. 

Saturday, July 16, 2011

Feeder Cattle Fractal



Feeder Cattle has shown a history of very deep and fast 4th waves. Price retraces a fibo 61.8% of the prior 3rd wave, very unusual, but a great trading opportunity if you are on top of it. What a 4th does in price, it doesn't do in time, and what it does in time, it doesn't do in price. The opposite of these moves would be a contracting triangle that eats time but not price.  I have posted a couple examples of the 4th wave fractals that have formed in the past. The price gap at $130 right at the 61.8% of the prior move is looking like a low risk high reward trade setting up. Hopefully price will fill the gap and then make a new high for the year.   

Thursday, July 7, 2011