ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
The price of cocoa has been in near freefall again. The picture-perfect bounce for iPath Bloomberg Cocoa SubTR ETN (NIB) from its support at 200-day moving average (DMA) reversed into a recent 200DMA breakdown and a convincing breakdown below the June low. Source: FreeStockCharts.com As usual, a flurry of news exists that helps explain at … Read more
It did not take long. Two days after I identified a Bollinger Band squeeze on iPath Bloomberg Cocoa SubTR ETN (NIB), the technical chart pattern resolved to the downside. NIB has lost 11.9% over this time. Source: FreeStockCharts.com At current levels, NIB has confirmed a top from its 19-month high: a breakdown below the 50-day … Read more
On March 8th, I finally took profits and sold the rest of my holdings in iPath Bloomberg Cocoa SubTR ETN (NIB). In the past week, NIB came back down to my price and the ETN closed below my selling price to finish the week. I now think the price of cocoa, and thus NIB, has … Read more
On Friday, The iPath Bloomberg Cocoa SubTR ETN (NIB) soared 3.0% to a 14-month high. It was a breakout the validated months and months of patience betting that in a market with strong demand, extremely low cocoa prices would create the conditions for higher prices in the future. While NIB has persistently rallied since the … Read more
It was a welcome turn of fortune for iPath® Bloomberg Cocoa SubTR ETN (NIB). In a week where global stock markets took a sharp tumble, NIB followed through on an important technical breakout. The week started ominously when NIB sold off and dove back below its 50 and 200-day moving averages (DMAs). After that setback, … Read more