July 15, 2024

 Stay Short – GET SHORT

Corn and Soybeans

As noted in my weekend newsletter, last Friday’s USDA report was regarded by analysts as being “bullish” or “friendly” to the Corn market…but all it garnered that day was a 2 cent higher close…followed by being 10 cents lower today, and once again, dead on its contract lows.

All I’ll say is that, in my experience, bear markets rarely, if ever, turn around on “bullish reports,” that in fact, with analysts STILL focusing on “when the turn back up comes,” all it does is continue to indicate that the lows are nowhere even close to here…I mean, really, when we DO get to the bottom, you can bet that there won’t be a bullish analyst, trader or farmer anywhere in sight. All of the rhetoric will be screaming, “too much of it!” and “Nowhere to go but lower from here!”

With Soybeans down 24, as I write, and Corn getting hit, I will repeat that the dollars disappearing in farmers’ bins right now is getting worse and worse and worse…and consequently, I cannot imagine anything but that they will be selling more…and more…and more.

I remain short both markets…And continue to recommend buying puts in both…especially, today….following that “bullish” report…the Corn market.

Call me and do something with this…I continue to take new positions…and continue to add to old ones…

Thanks,

Bill

770-425-7241

866-578-1001

All option prices in this newsletter include all fees and commissions. All charts, unless otherwise noted, are by Aspen Graphics and CRB.

The author of this piece currently trades for his own account and has a financial interest in the following derivative products mentioned within: Corn, Soybeans