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Thursday, July 16, 2009

The return of commodities?

What's going on with commodities?

We just released Thursday's Swing Trading Signals and I was struck by how many commodity ETFs are generating BUY signals. Most are energy related ETFs but there is a sprinkling of other types, as well.

Here is a preview of the list:

Symbol Name
DBCPOWERSHARES DB COMMODITY INDEX TRACKING FUND
DBE POWERSHARES DB ENERGY FUND
GSG ISHARES S&P GSCI COMMODITY-INDEXED TRUST
JJE IPATH DOW JONES-UBS ENERGY SUBINDEX TOTAL RETURN ETN DUE OCTOBER 22, 2037
JJT IPATH DOW JONES-UBS TIN SUBINDEX TOTAL RETURN ETN DUE JUNE 24, 2038
OIL BARCLAYS BANK PLC IPATH EXCHANGE TRADED NOTES LINKED TO GOLDMAN SACHS CRUDE OIL TOTAL RETURN INDEX
OLO POWERSHARES DB CRUDE OIL SHORT EXCHANGE TRADED NOTES DUE 6/1/2038
UHN UNITED STATES HEATING OIL FUND, LP
USL UNITED STATES 12 MONTH OIL FUND, LP

Some of these ETFs are quite well known and some are rather obscure. Nevertheless, this is a signal that a resurgence in commodities is under way.

If you are a trader, you might want to look into a few of these. It sure looks like this sector is poised for a rally.

Disclosure: no positions



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