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Wild Rice - Fried Rice

Technical observations of

Bob Hoye
Institutional Advisors
May 2, 2008

[Editor's note: I've never followed rice futures so I had to research what those numbers on the below chart represent. I believe that it's the US$ price per hundredweight of rice. -Barb]

The 20-day moving average has been violated for the first time since the rally started last summer.

Open interest continued to expand into the highs, signifying that it was not short-covering that drove prices over $24, but continued buying interest.

The island top is an important technical pattern, now trapping all buyers above $23 with losses.

  • In January our call was for commodities to rally to an important high in March-April
  • Wheat did a similar blowout and collapsed by 45%
  • Rice is in the early stages of an important failure
  • Quite likely this cyclical bull market in grains has been completed


-Bob Hoye
Institutional Advisors


Hoye Archives

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