Sat - 4/30/2015 08:35

"What does that lead to ?"

A defensive sideways to lower market UNTIL THE FUNDS CHANGE THEIR TUNE******

This is pretty much what I've been posting about since Christmas. My numbers are a little different because I use futures ONLY. What is MISLEADING about this chart is that spike high into Christmas. Just looking at that chart it looks like alot of buying as corn price rose roughly $1 right ? The misleading part is a good 90% of that buying was short covering,,, NOT net new buying, or net NEW money coming into corn.

I listened to Market Rally with Chip Flory a fair amount since last fall, Chip does love to talk about the "funds buying" but he fails to explain the difference between short covering buying and NET NEW BUYING. Listening to a radio show where they talk about the "fund buying" does help your ratings,,, but in real life does nothing to help you in marketing.

These are the FACTS. Yes i have the numbers to back this up.
Mid summer the long side of the spec funds held 469k contract in corn.
As of April 21st they held 357k
That's 112k of long spec trader that have left corn.(selling) my "We're Leaving comment,,, most of this since Christmas.

Going forward the weaker US Dollar and stronger crude/better E-margins should help corn prices. Or at least slow or stop the new shorts from entering. IMO it is not enough (yet) to out weigh a 1.827 BB corn carry until we get some major weather troubles.

A few years back we had every Tom, Dick and Harry was falling over them self's buying corn. This HAS CHANGED,,, as corn has lost its shine in the investors eyes.....

Here's a chart from a post below that is supportive.
http://talk.newagtalk.com/forums/thread-view.asp?tid=552594&mid=454...

Until the equities come out of favor which they may do sooner rather than later then funds can move their money to the next casino play. Notice how "everything is bearish"? Years back everything was bullish. You could walk the bull down Lasalle st and have him take a dump for proof he was there and it wouldn't matter. Until the mentality changes it doesn't matter. We may be less than a year from a change but who knows? Too many lives are at stake for this business to be a casino.