Cannon Futures Weekly Letter
In Today’s Issue #1286
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The Week Ahead – Fragile Ceasefire, heavy Earnings
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Futures 102 – New, Exciting Tools for Cannon’s Clients!
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Silver Outlook
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Cannon Edge – Your Futures trading Map for the week ahead!
- Trading Levels for Next Week
- Trading Reports for Next Week
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At-a-Glance Levels
| Instrument |
S2 |
S1 |
Pivot |
R1 |
R2 |
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Gold (GC)
— June (#GC) |
4728.00 |
4801.90 |
4859.80 |
4933.70 |
4991.60 |
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Silver (SI)
— May. (#SI) |
75.37 |
78.44 |
80.84 |
83.91 |
86.32 |
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Crude Oil (CL)
— June. (#CL) |
72.76 |
77.92 |
84.13 |
89.29 |
95.50 |
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June Bonds (ZB)
— June. (#ZB) |
112 30/32 |
113 25/32 |
114 11/32 |
115 6/32 |
115 24/32 |
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What Futures Traders Should Watch This Week
By John Thorpe, Senior Broker
Is the smoke clearing in the Mid-East and the markets have a renewed sense of confidence?
The Cease fire ends on Tuesday, what can possibly happen between now and that deadline to disrupt the confidence?
An old adage I have pinned to my corkboard is as follows:
“Liquidity in Markets is, more than anything, a function of confidence. Though that confidence is abundant now, it can evaporate in an instant.“
Don’t let your guard down just yet, the fog continues, tune into the Sunday evening markets to witness reactions to the weekend news streams, manufactured or true. The IRAN War continues in spite of the tenuous cease fire as the war premiums that had been built into Equities, Bonds, Metals and the Energy complex, have been drastically discounted as of last week’s trade.
Of note next week is the beginning of the Fed Blackout period, Heavy, and may I reiterate, heavy earnings with a few key economic data points to watch. Earnings this week will be impactful as Tesla steps up to the mike as do a slew of military contractors setting up for a very interesting picture for our stock indices.
Plan your trade and trade your plan!
Earnings Next Week:
· Mon. Steel Dynamics, Alaska Air
· Tue. GE Aerospace, UnitedHealthcare, Raytheon, Chubb, Northrup Grumman, DR Horton, United Airlines, Haliburton
· Wed. TESLA, Phillip Morris, Texas Instruments, AT&T, Boeing,
· Thu. Caterpillar, AMEX, Intel, Lockheed Martin, Blackstone, Honeywell, Newmont Mining, Comcast
· Fri. P&G, Schlumberger
FED SPEECHES: (all times CDT)
· Mon. Quiet
· Tues. Waller 1:30 pm
· Wed. Black
· Thu. OUT
· Fri. Period, Pre Fed Rate decision April 29th
Econ Data:
· Mon. Quiet
· Tue. ADP Weekly, Retail Sales. Redbook, Pending Home Sales, API Crude Stock Change
· Wed. EIA Crude stocks, Biege Book
· Thu. CHGO Fed National Activity Index Initial Jobless claims, Nat Gas Stocks, KC FED Index, Fed Balance Sheet
· Fri. Mich. Consumer Sentiment, Baker Hughs Oil Rig Count |
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Every morning, the world’s biggest banks and macro strategists publish where markets are headed. The rest of the world waits for the headline.
That intelligence stays locked inside trading desks, institutional terminals, and private client portals — accessible only to the few who pay for the privilege, and even they only get what they pay for.
This briefing changes that ( 100% FREE on Cannon’s website!!). Every morning we scour the open web and aggregate everything that matters — pulling from publicly available sources so you never have to — and distill it into one clear, readable edition you can get through before your first coffee is finished.
From the morning calls at Goldman Sachs and JPMorgan, to the independent macro voices moving markets, to the reporters who break desk leaks first — it’s all here, every day, in plain language.
No terminals. No subscriptions. No private portals. Just everything the market is saying, gathered in one place, every morning before the bell.
Read the Latest Briefing HERE and make sure to Bookmark this page!
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Silver Faces Another Deficit in 2026
By Tom Pawlicki of our clearing partner StoneX
The sharp rally in silver prices in late 2025 reached a crescendo in January this year but prompted changes in the market’s underlying fundamentals. Physical demand has since been rationed and investment flows reversed, which may indicate that investors will face a future with thinner liquidity and increased volatility.
That may act as a drag on prices in the near-term, however, with favorable news today on the war with Iran, the silver market could find renewed hope for a rally based on a turn back toward potential US rate cuts.
A new long-term outlook from the Silver Institute on Wednesday showed that some fundamental demand shifted away from silver due to high prices in 2025. Total demand declined 2.3% in 2025 from 2024 and reached the lowest level since 2021. It continued a trend of weakening demand along with the prior two years. Demand declined 6.8% in 2023 and fell another 3.3% in 2024 after surging in 2021 and 2022 in the wake of Covid.
The average yearly change in demand in the seven years from 2018-2024 is +3.0%, so the decline in 2025 demand showed normal market rationing. Weakness in 2025 was seen almost across the balance sheet with the exception of investment. Industrial demand fell partly due to weakness in photovoltaics, while photography continued its long-term systemic decline.
Jewelry demand fell 8% to 189.3 Moz due to rationing from high prices, especially in India. Silverware demand fell 21% from a year ago to 42.1 Moz for the same reason.
Demand from investors cushioned the demand side of the balance sheet by rising 14% in the coin & bar category, and 312% in Exchange Traded Products. The ETP category rose to 278.1 Moz in 2025 from 67.5 Moz in 2024. A global number for ETF holdings from Reuters shows a slightly smaller increase but strong nonetheless. |
| The supply side saw mine production rise 2.8% to reach 846.6 Moz. It followed a 1.6% gain in 2024 and was favorable compared to the 2018-2024 average of -0.6%. Total supply rose 6.9% thanks to an additional bump from recycling, which reached its highest level in 13 years amid increased recycling of jewelry and silverware. Supply from hedging rose 44.7 Moz.
The balance between supply and demand showed a narrower deficit of 40.3 Moz compared to a deficit of 137.9 Moz in 2024. It marked the fifth consecutive shortfall and added pressure on global inventories, although it was the smallest deficit since the last surplus in 2020.
While the supply/demand deficit has been an ongoing issue for silver for several years, the impact of potential tariffs was another issue which bolstered prices in 2025. In anticipation of that potential, massive amounts of silver were brought to CME vaults in the US from overseas (mostly London) in an attempt to eventually draw from non-tariffed stocks.
CME inventories rose from ~315 Moz at the end of 2024 to a peak of 531 Moz in early October 2025. Tariffs on precious metals were taken off the table by President Trump during the April 2nd Liberation Day announcement, and that decision was affirmed again in August. A majority of the silver that went to the US came from London which severely tightened that market’s ability to respond to demand surges elsewhere.
Demand from Indian consumers surged in October, which forced silver to be sent from London at the same time that US inventories at the CME were at record highs. Lease rates then surged as a result of the lack of liquidity which caused silver to be sent back to London. Silver was designated a critical mineral by the US in November 2025, but metal has flowed out of CME vaults since the October peak.
Inventories currently stand near 320 Moz which is very near its level at end-2024. |
| The silver market’s progression through the manic rally in 2025, the temporary surge in Indian demand, and the squeeze on London supplies has fueled an aftermath of weakness in the last 2 1/2 months, and futures prices are 32% off their peak on January 29. Additional strength in prices can’t be ruled out, however, as the Silver Institute projects another supply/demand deficit in 2026 of 46.3
Moz compared to the 40.3 Moz deficit in 2025. It said that it expects liquidity to generally be thinner, lease rates more volatile and price moves likely to be larger than investors have grown used to.
Both silver and gold traded lower during the war with Iran, and there was good news today on that front. The Strait of Hormuz was opened by Iran and the country agreed to suspend its nuclear program indefinitely. Oil prices fell ~11% on the news and WTI is back near $80/bbl.
If that trend toward a successful conclusion to the war with Iran and lower oil prices continues, it could return the US economy back to where it was before the war began. That would suggest lower inflation, a slowdown in economic growth, and the possibility of rate cuts. All of those could all be good for silver prices once again.
Important: Trading commodity futures and options involves a substantial risk of loss.
The recommendations contained in this article are of opinion only and do not guarantee any profits.
Past performances are not necessarily indicative of future results.
This article is provided by Cannon Trading Company for informational and educational purposes only. Content may include market commentary, technical observations, analyst opinions, and aggregated material derived from publicly available sources. While such information is believed to be reliable, Cannon Trading Company does not author, independently verify, endorse, or guarantee the accuracy, completeness, or timeliness of any third-party information referenced or summarized herein.
The information, opinions, market data, and commentary contained in this publication are subject to change at any time without notice and do not constitute investment advice, a solicitation, or a recommendation to buy or sell any security, futures contract, option on futures, foreign currency transaction, or any other financial instrument. |
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Cannon Edge — Your Daily Futures Insight for the Next Trading Day! Cannon Edge for April 20th 2026
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Cannon Edge is our new daily feature designed to give traders a fast, actionable overview of key futures markets. Each post delivers:
- Current price and daily % change
- 30‑day and 52‑week highs/lows
- PROPRIETARY Short‑term and long‑term trend signals
- Coverage across equity indices, metals, energies, currencies, and ags
Whether you’re scanning for breakout setups, trend reversals, or just staying informed — Cannon Edge puts the data in your hands before the open.
Built for speed. Backed by insight. Powered by CQG.
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Would you like to get weekly updates on real-time, results of systems mentioned above?
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Daily Levels for April 20th, 2026
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Trading Reports for Next Week
First Notice (FN), Last trading (LT) Days for the Week:
www.mrci.com
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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.
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