US market went down over night on Chinese financial concerns with using copper as collateral and hedging which may cause default of debt as copper prices continue going down. I was kind of expecting the market would keep working on yesterday's down turn and finish the gap at 1845-42. For ES it would also mean moving back into last composite balance area. I guess the big boys are not ready to let it go back down yet. Half way to the gap fill, buyers stepped in and took it back to the current balance area.
Grains continue to diverge, Soybean dropped 25 points overnight which was unusual. Two of my risk of orders got filled unexpectedly. I made an error of not adjusting before shutting down at night. I need to get into a habit of reviewing any open orders before turning in. Corn held up with only couple points advance. The USDA report helped corn since it reduced corn's inventory level. Wheat continued to march forward with 18 points. Ukraine's unsettled situation kept buyers coming. I sold both calls and puts to wheat. My 680 is ITM now. Wheat is at Fib 23 target from the bottom and Fib 78RT from top on weekly. I need to wait a little more to see how far it will go up before adding anything to it. Corn is above Fib 62% RT and 50SMA wkly. It may be in play now since it appears have limited upside.
CL moved down overnight and with higher inventory report it dropped almost 2% by closing. Now I need to pay attention to downside risk. Commodities tend to move a lot further and long in trending conditions. Get to be more patience and watch for levels.
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