Seasonality in Futures Trading 2.21.2018
Posted By:- Ilan Levy-Mayer Vice President, Cannon Trading Futures Blog
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Seasonal Futures Trading
There are seasonal commodity trends that may reoccur within the futures market. This could help guide traders and build a plan for a seasonal futures trading strategies.
Trading Commodity Seasonal Patterns
Every calendar year there are different seasons. It is how we plan our lives. Weather is the first to come to mind, but there are holidays, sports, shopping and many more that help break up the monotony of our day to day patterns. The commodities market is no different. Just as you use a calendar to plan and differentiate Thanksgiving from Opening Day in baseball, you can use the same calendar to blueprint possibly when wheat futures will be high and copper prices low. Traders can use these seasonal patterns to their advantage because it allows a certain degree of predictability of future price movements, rather than being bombarded by an endless stream of often contradictory market noise. Now of course there are other factors too numerous to list that can affect the futures markets, but certain conditions and events reoccur at annual intervals and help traders anticipate where the market is headed.
Seasonality of Futures
Although not 100% accurate-as any weatherman will tell you-weather is, in fact, the chief contributor to seasonal futures trading. The annual cycle from warm to cold weather and then back again affects all the agricultural commodity markets as their supply and demand coincides with the planting and harvesting seasons. However….READ FULL ARTICLE
Good Trading!
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
Futures Trading Levels
2-21-2018
| Contract March 2018 | SP500 | Nasdaq100 | Dow Jones | Mini Russell | BitCoin Index |
| Resistance 3 | 2781.92 | 6970.08 | 25715 | 1565.13 | 13620.00 |
| Resistance 2 | 2764.83 | 6906.92 | 25528 | 1556.27 | 12690.00 |
| Resistance 1 | 2739.92 | 6849.58 | 25240 | 1543.53 | 12175.00 |
| Pivot | 2722.83 | 6786.42 | 25053 | 1534.67 | 11245.00 |
| Support 1 | 2697.92 | 6729.08 | 24765 | 1521.93 | 10730.00 |
| Support 2 | 2680.83 | 6665.92 | 24578 | 1513.07 | 9800.00 |
| Support 3 | 2655.92 | 6608.58 | 24290 | 1500.33 | 9285.00 |
| Contract | Apr. Gold | Mar. Silver | Apr. Crude Oil | Mar. Bonds | Mar. Euro |
| Resistance 3 | 1370.6 | 16.91 | 63.58 | 145 8/32 | 1.2546 |
| Resistance 2 | 1362.3 | 16.80 | 63.11 | 144 27/32 | 1.2502 |
| Resistance 1 | 1347.2 | 16.61 | 62.36 | 144 13/32 | 1.2429 |
| Pivot | 1338.9 | 16.50 | 61.89 | 144 | 1.2385 |
| Support 1 | 1323.8 | 16.30 | 61.14 | 143 18/32 | 1.2312 |
| Support 2 | 1315.5 | 16.19 | 60.67 | 143 5/32 | 1.2268 |
| Support 3 | 1300.4 | 16.00 | 59.92 | 142 23/32 | 1.2195 |
| Contract | Mar. Corn | Mar. Wheat | March Beans | Mar. SoyMeal | Mar. Nat Gas |
| Resistance 3 | 373.3 | 472.6 | 1047.08 | 393.37 | 2.78 |
| Resistance 2 | 371.7 | 467.9 | 1042.17 | 389.43 | 2.72 |
| Resistance 1 | 368.6 | 458.6 | 1034.33 | 382.97 | 2.68 |
| Pivot | 366.9 | 453.9 | 1029.42 | 379.03 | 2.62 |
| Support 1 | 363.8 | 444.6 | 1021.6 | 372.6 | 2.6 |
| Support 2 | 362.2 | 439.9 | 1016.67 | 368.63 | 2.52 |
| Support 3 | 359.1 | 430.6 | 1008.83 | 362.17 | 2.48 |
Economic Reports, source:
http://app.bettertrader.co
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.
