Recent: SGG.png

SGG.png

Just to prove I have not completely given up on commodities, the agriculturals have piqued my interest lately. Sugar's ETF (SGG) on the monthly chart is approaching the lows of 2008 and 2010 which we can expect a bounce off of. Unlike other commodities SGG has been in a long protracted decline since about 2011 and so I feel this will be one of the first to begin to recover. Watch closely what happens over the next two months as price should firm at $40.

Comments

RideTheCurveRideTheCurve
But last month's bar broke below the channel. And as TK aways says, "The Damage is Done". Thus, I'm going to wait to see what the strong USD and global inflation does with this baby. Sugar at 25 cents/lb - come to sugar daddy! 10/26/14
Danja ZownDanja Zown
I have a similarly pessimistic long term view, however in terms of trying to identify a bottom in sugar, we might be getting close. True, U.S. dollar deflation has played a role and don't expect the rebound this time around to be anything like as sharp as 2008 or 2010, but I do strongly believe a great long term buy is presenting itself. Other agricultural's like CORN, WEAT, and COW I think also are similarly setting up for great long buy's. 10/28/14
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