Congratulations to those still long wheat. I bailed out of KC wheat at 935. My long wheat position will probably be my largest gain for the year. Chicago Wheat opened last night limit up again with no sellers in sight. Now, a crop of permabulls have appeared overnight in the grain markets telling people to buy and hold. I have traded the grain markets for over 10 years and have successfully navigated bull and bear markets. Now is the time you should be selling and looking for an exit. This market is going to turn. You will have limit down days and won’t be able to exit the market. I am not saying this is a top. It could possibly double from here. WW III could start and it might triple for all I know. I am just saying that getting stuck on the other side of this trade can blow up your account. There is far too much euphoria around the commodity markets. This is a sign that we should take our profits.
Being a successful commodity trader is about risk management. My primary goal is to protect my capital.