I’m revisiting “The complete Guide to Spread Trading” from Keith Schap to get some ideas about spreads, which make “sense” and I want to share this approach with you, by posting some long and midterm charts.
Kind of extreme move or Silver catching up with Gold in the last 12 months.
Gold / Palladium
Choppy, but as you can see on the long-term chart PL/GC is forming a bottom pattern/ higher low. A break above 450 confirms.
Corn / Wheat
Nice move yesterday and prices have reached the breakout level from 2010 when we went from 200 to 320 in a matter of weeks only to drop back as fast back to 165.
Might be worth watching for a few more days, if indeed we spike up again. Seasonality supports that idea.