Market Update (17/02/2023)
Natural Gas at an all-time low
Looks like Europe bought lots of natural gas last year in August before the winter and is now not adding more, the price is at an all-time low.
War in Russia
The war in Russia is escalating and is now involving pretty much the West against now just Russia, but maybe China soon will back Russia. It is looking like a very dangerous time. Definitely positive for commodities to go higher and inflation to stay high.
Coal price
Coal price is now getting cheaper and cheaper, to me, it looks like coal will actually behave like iron ore and Steel price. FMG which mine iron ore is now near an all-time high and iron price just started to rise after going high a few years ago and consolidating. I suspect Coal stocks to stay at high prices for 1 year without breaking out, looks like buying coal stocks might be a smart thing to do before dividends
Gold and Silver
Precious metals have been performing pretty well until recently when they went down suddenly, but overall we are very close to a breakout on the upside, the last opportunity to add in my opinion.
Potash
Potash stocks looks very interesting, it is quite hard to figure out the price of potash commodity. IPI is trying to bottom and KP2 and SHP are both not moving much which in my opinion is a good sign.
Uranium
Uranium spot price and uranium stocks are all looking really really good. It is very close to a breakout in my opinion. Hopefully, we will have around 2-4 years off the bull market from here. If the bull market starts, it will be time to unload some when the bull trend ends (not anytime soon).
Oil
oil is trying to go lower but struggles, now around 74-80. It looked like it could go to 60 but it is really struggling to go down at the moment.
oil potential this coming bull market
Potential direction for oil for the next bull market by zuzuk on TradingView.com
Dry Bulk
Dry bulk is at an all-time low, there is a huge chance of a bounce back on the upside soon.
Dry Bulk on sales by zuzuk on TradingView.com
Conclusion
overall, most commodities are still on a short-term downtrend but some have started to form a bottom, wave 1 looks fully done on most commodities and wave 2 is coming to an end, I expect wave 3 to come soon at mid or end of 2023 or 2024 on most commodities but especially on Iron ore, steel, uranium. Next, I would say Oil, coal, or Potash will be next.
Disclaimer:
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by Hunt Of The Unicorn.
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