Knocking at the Door…… with Oil/Commodity Update
Technically a close over 900 on the S&P is a breakout with a 1040 short-term objective. Other than that, read the news, it is terrible. Also reread last weeks comments here. There is nothing new to add.
Update at 12:21 PM CST
We don’t give out oil or commodity markets aften because we don’t get involved except at macro extremes. As we said then oil at $ 150 was a bubble now things have changed. It appears to us, as of last Friday, that the OIL and Commodity markets have exhausted their downmove. We look for oil to trade in a $ 40 to 70 dollar range over the next 12 months. Ag markets are cheap enough also. As such we are buying some OIL and AG ETF’s at current levels in the Eureka portfolio. ETF’s such as DBA,DBC,DJP,DBE,DIG(double long).