Heartland Newsletter for Tuesday 03-13-2012  03/12/12 3:47:39 PM Printer Friendly VersionPrinter Friendly Version

 


 

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March 13, 2012
www.heartlandinvest.com 701-222-0221 or 1-800-359-0221
 
 
 
 
 
What I've Learned


 
    "When life gives you a hundred reasons to cry,
show life that you have a thousand reasons to smile."


- Unknown

 

Commentary

Click the microphone below for today's commentary. I could not be any blunter. And view the TV interview on KFYR TV at the bottom of the newsletter as well. No use typing what I have already said.

 
 

 

 

 

 The US dollar should encounter strong support at 79.60-79.65.

 

US Dollar Daily Chart    

 

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Corn

Last week Wednesday I said "On my 6 hour chart corn shows major support again at 632-634. That should hold through tomorrow".  Take a look at my 6-hour chart and how I came up with the low that held. An observation of gaps, previous highs and lows is what those red lines are. Now corn needs to close above 666 in order to imply 672-675 will be attacked. Closing above that says hello to $7.00, and I bet you thought the corn market was SO bearish. Listen to today's audio in commentary.

May Corn Intra-day Chart

 

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Beans

In spite of spiking the value, the .618% retracement value at 1334-1335 is still stalling out the bean market. After two days down Friday and Monday. The bullish rule is that beans will head back up tomorrow. We will see if that is true, and if so, beans are still running higher.
 

May Bean Daily Chart

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Wheat

Last Wednesday I said these exact words. "Dropping 39 cents in three sessions is pretty ugly for wheat today. The trend line directly under it needs to create support, and wheat is the grain market that respects trend lines the most, so we will find out tomorrow.  A close under 628 would mess up positive momentum".  We held that trend line. When and IF it breaks we will have a change in trend, but for now higher lows are holding. Listen to the audio in commentary.

   May Chicago Wheat Daily Chart

 

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Live Cattle and Feeder Cattle
Cattle futures are in consolidation mode, recovering from early sharp losses and settling 2.00+ off the day session lows.  Cash cattle offers started the week at 128-130, and 203-205 on a dressed basis.  Choice cutouts were lower, now in the 192.50 area.  Packers are buying cattle lower, but the faltering product values are not helping their margins, now at $58 per head in the red.  Look for further consolidation in the short term, with prices grinding higher as we progress through the year.

  April Live Cattle Daily Chart

 

August Feeder Cattle Daily Chart

 

March Feeder Cattle Daily Chart

Gold

  Gold closed Friday above 1710, which is a technical positive, but giving it up so easy today is a concern. I am not so sure gold is still friendly, 1710 still looks to be an upside barrier.

Gold Daily Chart

gold chart

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Crude

Crude oil is trading inside of the crowd noise. What I mean by that is until it closes under 103.00 or above 110.00, the grinding action is noise. Buy support in the 103.-104.00 area and get out if we have two closes below that.

                                                         April Crude Oil Daily Chart

  
 

03-12-12

 
Link (in blue) below to view the latest market prediction interview on KFYR - TV:

--> Watch Eugene On the News <--
 
 

 

 
 
 
» Hedge Recommendations

 

Corn:

2011 production

1-24-12 Sold 20% @ 634 March.

1-11-12 sold 20 % at 653 March.

8-24-11 sold 20% at 7.42 December. 

3-30-11 sold 20% at 608 March 1012


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Soybeans:

2011 production

1-24-12  Sold 20% @ 1225 March.

1-11-12 Sold 20% at 1207 March.

3-19-11 Sold 20% of 2011 beans at 1350 on the November 2011 contract.

10-14-11 Sold 20% of 2011 production at 1281 on the Jan. 2012 contract.  

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 HRS Wheat:  

2011 production

2- 1-12 Sold 20% of 2011 crop on the May contract at 828

1-11-12 Sold 20% on the board at 816 March with basis not locked.

8-24-11 sold 20% at 931 December.

3-29-11 Sold 20% at 910 on the Dec 2011 HRS contract.  For winter wheat producers sold the Sept KC wheat at 883.


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Cattle

 
 
 For January, March, April, and May Feeder Cattle...Covered 100% of production buying puts and selling calls. Covered the calls in the December break near $1.00 for most.

 
NOTE: With the exception of livestock, all trades will be entered in the electronic markets unless otherwise noted. Hedge recommendations and Trade recommendations are totally separate, and may sometimes conflict with one another. It is strongly suggested that Spec trades and Hedge trades be done in separate accounts.
 
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A word to the Wise             

              

Past performance is not indicative of future results. The information contained in this report is intended for informational purposes only and is the opinion of the writer and may change at any time. This information was compiled from sources believed to be reliable to Heartland Investor Capital Management , Inc. but accuracy cannot be and is not guaranteed. There is no warranty, expressed or implied, in regards to this information for any particular purpose. There is SIGNIFICANT RISK of LOSS involved in trading futures and / or options on futures and may not be suitable for all investors. Investors should consider these RISKS and evaluate their suitability based on their financial conditions. No one should ever consider trading futures or options on futures with anything other than RISK CAPITAL . NO LIABILITY  on the part of the author exists for any trading loss you may incur in the use of this information. The information contained in this newsletter is privileged, confidential and protected from disclosure. Any further disclosure or use, distribution, dissemination or copying of this message or any attachment is strictly prohibited.

Newsletter provided by Heartland Investor Capital Management, Inc. a registered CTA with the NFA, of which Eugene Graner is principal. This entity is a separate legal entity from the Introducing Broker Heartland Investor Services.

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Copyright © 2012 Heartland Investor Capital Management All rights reserved




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