Technical Analysis: S&P GSCI Agriculture: A flag is in formation


The S&P GSCI Agriculture index replicates the performance of a basket of agricultural commodities such as wheat, corn, soybeans, cotton, sugar, coffee and cocoa. It has, since June 2010, a  ...

Day By Day – Indipendent Research

…bullish trend as evidenced by the inclusion of troughs and peaks which are higher and higher and the orientation of the200-day moving average. The recent intermediate consolidation phase should allow the movement to take a break before resuming the bullish path. We’re positive in the medium-term.

14062011 1

Close price 164.44

2 months Opinion BULLISH
2 weeks Opinion POSITIVE

Resistances 109,8 / 113 pts
Supports 101,3 / 97 pts

Anticipation :

In the shorter term, the corrective movement initiated after the failure of the resistance at 113 points was stopped by the major support at 97 points, tested twice. After bouncing off this solid support reinforced by the 200-day moving average the prices are consolidating above the support at 101.30 points in a flag. Triggering (an exit out of the top) this continuation pattern should lead to a bullish acceleration in the direction of the previous peaks. 

We are positive in the short-term and look for a rallying towards the resistance at 109.80 points.

We set the invalidation threshold for this opinion slightly below the support at 101.30 points.

Traker’s Name Leverage Expense ratio
RBS Market Access RICI Agriculture Index ETF x1 0,7%

Follow-up Analysys: Our DBD Tracker dated 23/05/2011 recommended the sale of the European STOXX 600 index. Since then, prices are approaching our second intermediate target at 267.50 points, or a performance of 4%.

* A leverage of 1 means that the ETF/Tracker has the same performance as the underlying index. A leverage of 2 indicates that the ETF/Tracker will have twice the performance of the underlying index. A leverage of -1 indicates that the ETF/Tracker will perform opposite that of the index: it will rise while the index falls, and vice versa.



This publication is solely intended as information and does not constitute any investment advice or an offer, solicitation or recommendation to acquire or dispose of any investment or to engage in any transaction. Althoughthis publicationis issued in good faith, no representation or warranty, express or implied, is or willbe made and no responsibility or liability is or willbe accepted by NYSE Euronext or by any of its officers, employees or agents in relation to the accuracy or completeness of this publicationand any such liability is expressly disclaimed.No information set out or referred to in this publicationshall form the basis of any contract. The creation of rights and obligations in respect of financial products that are traded on the exchanges operated by NYSE Euronext’s subsidiaries shall depend solely on the applicable rules of the market operator. NYSE Euronext encourages you to reach your own opinion as to whether investments are appropriate or relevant and recommends you not to make any decisions on the basis of the information contained in this publication before checking it, as you will bear full responsibility for any use that you make of it. Persons wishingto trade products available on NYSE Euronextmarkets or wishingto offer such products to third parties are advised, before doing so, to check their legal and regulatory position in the relevant territory and to understand the related risks. All proprietary rights and interest in or connected with this publicationare vested in NYSE Euronext.No part of it may be redistributed or reproduced in any form or by any means or used to make any derivative work (such as translation, transformation, or adaptation) without the prior written permission of NYSE Euronext. NYSE Euronext refers to NYSE Euronext and its affiliates and references to NYSE Euronext in this publication include each and any such company as the context dictates. NYSE EuronextSM, Euronext®, trackers®, are registered marks of NYSE Euronext.

Source: ETFWorld – Day By Day – Indipendent Research



Artículos similares

Technical Analysis: Stoxx Europe 600 Real Estate index : Clearing of the 2011 highs


Technical Analysis: Stoxx Europe 600 Insurance index: bullish breakout of the triangle


Technical Analysis: MSCI EM Asia index: towards March 2012 highs