Over the last few months, many of the world's leading commodity markets have staged powerful "comebacks" to multi-month highs. Now, the brand-new May 2009 Monthly Futures Junctures (MFJ) reveals whether the sector's renewed zest for bullish life is here to stay.
First out of the gate is MFJ's "Monthly Feature" segment. Here, long-time editor and Elliott Wave International's chief commodity expert Jeffrey Kennedy presents ONE market in particular whose wave patterns scream, "Look At Me!" In this case: Lean Hogs. By applying his favorite "old school" technical formation to several price charts, Jeffrey shows where and when a "major reversal" may arrive.
Next up is MFJ’s “Wave Watch.” Here, Jeffrey provides two labeled snapshots per 10 markets -- each of which include clearly marked trendlines, up/downside objectives, support/resistance levels, and bold arrows pointing prices in their next likely direction. Off the top are these familiar favorites:
Coffee Talk: Check it out --
- June 2008 MFJ' "Wave Watch" showed prices at or near a significant four-month peak, and set to turn down.
Prices did exactly that.
- July 2008 MFJ applied "three simple but key concepts to the price chart and wrote: "The larger trend is down."
A jaw-dropping, six-month sell-off to a multi-year low followed.
- March 2009 MFJ "Wave Watch" set the stage for a wave C rebound.
Now, the May MFJ reveals whether the rally since then is the real deal.
Cocoa: Sweet or Sour? The January 2009 MFJ saw prices bouncing to $3 per tonne before turning down in a powerful decline. Once the tide had turned, and prices plunged to a four-month low in March --- the mainstream experts pinned the drop on a strong dollar.
Don't fall for it. The May MFJ has the real story.
The Feel Of Cotton: The January MFJ "Feature" on cotton warned: "Once this corrective move is complete, the downtrend should resume." Prices wilted to a three-month low before turning back up in March. Now, the May MFJ dots the highs and crosses the lows to show where cotton could go next.
Spilling the Soybeans: When prices stood at a three-month low, the March 2009 MFJ rang the bullish bell and wrote: "Wave patterns are indeed shaping up nicely for a run on the January high." Now with soybeans standing at their loftiest level in seven months, the new "Wave Watch" couldn't come at a better time.
Corn On the C-objective Analysis: Follow along:
- January 2008 Monthly Futures Junctures: "The advance will continue to ultimately beyond the July 1996 peak onto a much higher level, closer to 725-750. [Then] we expect the move to be completely retraced once complete." Prices fulfilled this forecast to a T.
- August 2008 Monthly Futures Junctures: "Corn has put in a multi-year top." A five-month selling spree to a three-year low followed.
- March 2009 Monthly Futures Junctures: "With respect to corn, the January decline has indeed ended. This being the case, the stage is now set for a rally."
Now, with corn orbiting a four-month high, the May "Wave Watch" shows how much gain is left for this grain.
Believe it or not, that's just the start of all the May Monthly Futures Junctures has to offer. Find out whether the commodity "comeback" kid is just passing through, --- or, putting down roots.