Our Futures Trading Results. Week 12 2022

Summary:

  • Our week in the markets using COT Strategy: +$10,235
  • Our week in the markets using Champion COT Strategy: -$150
  • Our week in the markets using Weather Analysis: +$0

 

 

+$10,085 profits! That’s a trading result from our commodity and futures trading according to COT data and our weather analysis in week 12. Welcome to InsiderWeek. In this video I’m going to show to you the trades of this week and the corresponding results. 

In our first COT strategy we started into the week with two open positions, namely in Sugar 17 long contracts and one long contract in Wheat. We ended this week with an empty portfolio. Let’s have a look at the reasoning behind the trades we took in this week. First market: Wheat. In Wheat we received a buy signal and as you can see price went to the upside and then it went into a correction. On the daily chart you can see that we tried to use the correction to enter this market with our long trades. The first trade was not successful and we were stopped out with a loss. Our second trade firstly moved into our direction but then it became weaker and because we saw that the price action became weaker we decided to close the position as well and as you can see the decision was a good decision because now the price moves in a sideways range. By closing the position we made a gain of +$1,287. Next market: Sugar. In Sugar we received a buy signal in the weekly trend direction. From this chart you can see that the price actually broke out of this range and because of that we decided to enter this market using a long trade. In our membership area we provide to you the most recent news that are important for our weather analysis. As you can see after we were triggered the fundamental news became pretty bearish. The respective articles can be reviewed on the right side next to the map. A bullish driver of Sugar however is Crude Oil. The price of Crude Oil is correlated with the price of Sugar because Sugar is used to produce ethanol and if the Srude Oil price increases the price of Sugar as a substitute product increases as well. On the daily chart of Sugar you can see that we were triggered when using the correction as entry and we decided to exit the trade to protect our accounting profit from potential price reductions caused by the bad outlook from the fundamental weather news. The increase that we’ve seen hereinafter is caused by the correlation to Crude Oil. By exiting this trade we made a profit of +$8,948. 

Now let’s have a look at our second COT strategy – the so-called champion strategy. It is called champion strategy because we used it to be in the top 5 of the world trading championship in the past years. At the beginning of the week we started with an empty portfolio and at the end of the week we have one open position, namely eight long contracts in Live Cattle. Our trades of the champion strategy made a total of -$150 loss in the past week. Let’s have a look at the trades of the strategy. In Crude Oil we took a re-entry this week and as you can see shortly before the weekend on Friday we decided to close the position to not hold an open position in Crude Oil over the weekend. Because of the geopolitical tenses at the moment Crude Oil can be very volatile and we don’t want to risk to be exposed to wide gaps when the market opens on Monday. In Cotton we used one of our standard entry patterns that our coaching participants learn in the champion coaching program. As you can see we also decided to close this trade on Friday to not hold the position over the weekend. The reasons are the same as for Crude Oil. Our next trade is Live Cattle. Here you can see that we were successful with one trade, then we had a loss trade and we decided on Friday to enter the market and we decided to hold the position over the weekend. We are currently long with eight contracts. 

We are proud to announce that we are back in our weather trading. Our trading based on extreme weather fundamentals is back because we are approaching the season that is delivering profitable trading opportunities. In the next weeks we will deliver interesting trades and we will discuss them in our trading results videos. So make sure to subscribe this channel to not miss out on these future videos that will support you in your own trading.

Now at the end let’s have a look at our CRB index as usual. After two weeks of correction the commodity price index started to increase again in this week. The situation in the markets is bullish and as a result we will continue to focus on taking long trades.

HERE you can find a summary of all individual trades and a comparison of the results of both strategies:

 

 

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We wish to you a good and successful trading week.

Max Schulz and
the InsiderWeek team