BESTER DERIVATIVE TRADING TECHNICAL BRIEF

Transcription

1 15 May 2015 BESTER DERIVATIVE TRADING TECHNICAL BRIEF US Dollar Index The US Dollar Index is below support of a sideways trading band with support at 93.6 and resistance at A recovery to levels above 93.9 is needed during the next week to strengthen the resolve of the Dollar bulls. Failure to recover will point to significant potential Dollar weakness during the next few months.

2 P a g e 2 USDZAR The USDZAR is expected to trade inside the trading band for a while. Long term trend support is found at Red flags have appeared for the Dollar Bulls this weak. The next week will be telling of where we are heading. CBOT CORN Jul15Corn consolidating just above support at 350. A breach of short term resistance at 370 will attract buying interest. The 350 area should be seen as a buying opportunity as this bearish trend is viewed as mature. After such an extended downward trend a sideways theme is highly probable to follow.

3 P a g e 3 CBOT HRW WHEAT Jul15HRW bounced off trend support and push through two resistance levels without blinking. The upward target is found at 590. Trend indicators are bullish. CBOT SOYBEANS Jul15Soybeans is consolidating midway through a downward sloping channel. Strong support is found at 940. Any weakness should be seen as a buying opportunity during the next week.

4 P a g e 4 SOYBEAN MEAL Jul15Soybean dropped through a support level at this week and now presents a buying opportunity. SOYBEAN OIL Jul15Soybean Oil is near the upper end of the trading range. A short term consolidation pattern has developed a resistance level at 33.5 A breach of this level will trigger fresh buying interest which will target the long term resistance trend line now at 36.4.

5 P a g e 5 SAFEX JUL15WM Jul15WM is developing a bullish continuation pattern which is threatening to end the sideways theme seen since February. A sustained break of resistance at 2815 will attract more buying interest targeting SAFEX JUL15YM Jul15YM is thin and volatile. Trend indicators are bullish. The upward resistance is seen at 2480.

6 P a g e 6 SAFEX SOYABEANS May15Soy sold off in a thin volume market this week. Support at 4600 was revisited. Bullish trend indicators have turned neutral to bearish. Support at 4600 has become an important support level. Today a recovery to levels above 4690 is needed to comfort the bulls. SAFEX WHEAT Jul15WEAT is targeting long term trend resistance at Market movement around this level is of interest this month as it will cast light on what is to follow during the next couple of months.

7 P a g e 7 Market Brief prepared by Johann Reinecke Tel: (021) or johann.reinecke@bester.co.za BESTER DERIVATIVE TRADING AND IT'S EMPLOYEES, AGENTS, REPRESENTATIVES AND ASSOCIATES DO NOT GUARANTEE THE ACCURACY OR COMPLETENESS OF ANY INFORMATION OR ANALYSIS CONTAINED IN THIS BRIEF. THERE MAY BE OMISSIONS OR INACCURACIES IN THIS BRIEF. TO THE FULLEST EXTENT PERMITTED BY LAW, BESTER DERIVATIVE TRADING SPECIFICALLY DISCLAIMS ALL REPRESENTATIONS OR WARRANTIES AS TO THE ACCURACY, COMPLETENESS, TIMELINESS, MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE OF THIS BRIEF AND MAKES NO EXPRESS, IMPLIED OR STATUTORY REPRESENTATION OR WARRANTY REGARDING THE INFORMATION CONTAINED HEREIN. BESTER DERIVATIVE TRADING SHALL NOT BE LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL OR CONSEQUENTIAL LOSS OR DAMAGES ARISING OUT OF, OR IN CONNECTION WITH YOUR USE OF THIS MARKET BRIEF.