|
Main Page
| Philosophy
| Current
Recommendations | Newsletter Archives
Contact Us
November 2, 2025
Special report on Cotton---
and
ALL four row crops
Looking Very Bullish
As I wrote two weeks ago, I am now long Corn, Cotton,
Soybeans and Wheat…that the past year’s sideways action, combined with what
seems to be just an overwhelming mountain of negative opinion, has led me
to conclude that all of these markets have bottomed…And that furthermore, I
could envision ANY good news absolutely lighting a fire underneath them…And
vis-à-vis this weekend’s news regarding China, I THINK THAT LAST WEEK AN
ACROSS-THE-BOARD BULL MARKET GOT STARTED IN ALL FOUR OF THESE ROW CROPS.
MY RECOMMENDATION
IS TO OWN ONE CALL IN ALL OF THEM AS ONE “UNIT,” TO BUY THEM HERE…AND
FORGET THEM FOR THE NEXT 2-3 MONTHS.
With closes on their weekly highs in all of them Friday,
combined with China’s announcement yesterday to suspend “all regulatory
tariffs that it has announced since March 4, 2025,” I have no idea what
sort of openings we will get in these markets tonight and tomorrow
morning…Nevertheless, further below I will include option recommendations
in each market…
But first…some
specifics on the COTTON MARKET…which I truly regard as being potentially
explosive.
I have been pointing out that Cotton routinely seems to
make 30-50 cent swings every few years, and that, after being dead sideways
in a 6-7 cent range for the past year, and with Speculative Funds having a
massive short position, I THINK COTTON IS FLATASS READY TO GO ON THE
UPSIDE…And what follows may seem like
gobbledygook but if you wade through each step below I think you will be
able to understand why I am so IMMEDIATELY BULLISH…
Start with this…
Now looking back at the
past year…and more specifically, what has been happening since July 1st…
Aside from the fact that Funds are RECORD SHORT, while
Commercial Traders are RECORD LONG (not shown here), what really
interests me is the 100,000 contract increase in
Fund shorts that has occurred since July 1st. During these last 4
months Cotton has traded between 68 & 64 cents, which would mean that
their average entry price is probably somewhere close to 66 cents...not to
mention that this is basically the same level at which they have entered
this massive Short Position during the past year...meaning that ANY further upside move from here
could/should see them being "forced" into buying...and per the
numbers, doing so in a BIG WAY.
And here is the near
term…And which is the point of all this...
Even though the explosion
I am anticipating will be led by the December, ALL of the Cotton contracts
will be rallying as well, and I therefore think you can position in any of
them all the way out to the July contract. At this moment, however, as
outlined in my last newsletter, I am sticking with the March.
SOYBEANS
WHEAT
CORN
Take you
pick. I think they are ALL going on the upside. Buy one, or two or all of
them…for about $4200. As I’ve said before, if I am dead wrong on all of
them, you lose the $4200…But having just one of them work probably makes
the whole thing a bit profitable…and getting 2, 3 or 4 right
would add up to substantial gains.
Call if you want to know
more,
Thanks,
Bill
770-425-7241
866-578-1001
All
option prices in this newsletter include all fees and commissions. All
charts, unless otherwise noted, are by Aspen Graphics and CRB.
FUTURES
TRADING IS NOT FOR EVERYONE. THE RISK OF LOSS IN TRADING CAN BE
SUBSTANTIAL. THEREFORE, CAREFULLY CONSIDER WHETHER SUCH TRADING IS SUITABLE
FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION. PAST PERFORMANCE IS NOT
INDICATIVE OF FUTURE RESULTS. THERE IS NO GUARANTEE YOUR TRADING EXPERIENCE
WILL BE SIMILAR TO PAST PERFORMANCE.
The author of this piece currently trades for his own
account and has a financial interest in the following derivative products
mentioned within: All of them
|