Tuesday, March 18, 2014

Cattle ETF Rallying Strongly

Above is the weekly chart for cattle.  The ETF was in a downtrend for two and a half years, continually printing lower lows and lower highs.  However, prices broke through resistance in October of last year, fell back to trend, then moved higher in February of this year.  Over the last 6 weeks, we've seen an incredibly strong rally, moving from 28.5 to 32.5.  Several of the weekly bars are incredibly strong, indicating very strong demand.