Likely, you have already heard about technical analysis. If you haven’t started using it yet, it could be because you are asking yourself, “How does it work in practice, and can I rely on it as a practical tool?” People ask me this all the time.
We started the conversation about the three indicators you can use to start you down the technical analysis path in Three Indicators to Start You Down the Technical Analysis Path- Part One. If you haven’t read it, I recommend starting there.
By: Rob Wolter
Blizzards during planting season and spring flooding.
Unpredictable political shifts and conflicts.
Pressures to buy lower than your competitors.
In the commodities markets, every fraction of a cent counts. When you’re dealing with large volumes, a few pennies can have a significant impact on margins, profitability and operating capital.
Go ahead, Google “hedging” or “financial hedging”—see what comes up on that first page.
Most likely you’ll find a vast list of articles that include technical terms or definitions of what hedging is and the role it plays in the finance world.
Eventually it’s bound to happen.
The bad trade.
If you’ve traded commodities, (we’ll use ethanol and corn markets as an example) for any length of time, you’ve probably experienced the emotions that come next.
First, regret. Wishing you hadn’t just made that bad trade.
In June, the Financial Accounting Standards Board (FASB) voted to proceed with finalizing the Accounting Standards Updates (ASU) for hedging activity. The final rules are expected to be announced in the next few months. Recognizing that our customers are impacted by these changes, Cargilll Risk Management’s Andrew Brodbeck asked Tim Potter at HedgeStar, a global firm based in Minneapolis, a few questions.
Increasing market volatility.
Mounting competitive pressures.
Changes in policy and regulation.
The pressures on today’s risk managers seem to grow by the day. As a result, the ability to feel confident in mitigating price risk when it comes to commodities or other asset classes may run pretty low from time to time.
By: Andrew Brodbeck
In November 2016, I wrote about evolving foreign exchange (FX) opportunities in Argentina due to the significant structural reforms in the country. The new government has been focused on restoring credibility, and with this comes change in FX markets.