👀 Ones to watch: The MOST undervalued stocks to buy right nowSee Undervalued Stocks

Commodities: Time To Catch A Falling Knife?

Published 08/18/2014, 11:25 AM
Updated 07/09/2023, 06:31 AM
US500
-
DBC
-

The PowerShares DB Commodity Index (ARCA:DBC) has been a little soft over the past seven weeks, losing around 7% in price (-2% YTD) while the S&P 500 has been flat (lower chart below).

The top chart is the TR Continuous Index, which finds itself testing dual support -- one of which is a 14-year rising support line.

This index has been soft for the past four years while the stock market has continued to rally. In the big picture, what happens here could be very important for commodities' overall direction in the months to come.

Commodities And The S&P 500

Some believe in the idea of buying low and selling higher. Is now the time to "Catch a Falling Commodities Index?"

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.