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Frank Petricca

Frank Petricca is writer of “Petricca’s Pick” focusing on a Long Term approach for commodity traders that have an interest in Long term accumulation. Frank has worldwide recognition spurring innovation that points to communicating a different way to approach ones investment portfolio using commodity instruments. Contact Frank at 312-690-7763.

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Petricca’s Pick 12/12/2023

By On December 12, 2023 - 8:59 AM · In Market Commentaries, Petricca’s Pick

SUGAR UPDATE

 

October sugar futures punched out new 6-month lows and is presently trading $20.46. My post, dated November 30th did in fact recommend Long-Term SHORT sugar positions as sugar futures were within my UPPER 25% parameter. Positions were established at the $24.00/$24.50 level. That move is worth approximately $4200.00 per 1 contract.

 

 

Again, as I reported in my December 1st post CONAB now expects a RECORD sugarcane production in Brazil of 677.6 million tons during the 2023/2024 season, a whopping 10.9% increase on 2022/2023 and an increase since CONAB’s August expectation of 652.9 million tons.

 

The larger crop was reported due to favorable weather and increasing yields that will now result in sugar production being up 27.4% annually to a RECORD level of 46.88 million tons. The previous forecast was 40.89 million tons.

 

Clients and subscribers should also note that weather in Brazil has been close to perfect….

 

Better than expected rains fell in the Brazilian sugar belt over the weekend and Brazil’s weather forecasts now call for a return to wet in the south and continued rains in central and northern areas this coming week.

 

My objective for October sugar futures is $17.25 where liquidation orders will be placed.

 

Those of you that are out of the market should NOT establish positions as sugar futures are in fact trading under my UPPER 25% parameter.

 

Those of you that called and have sugar positions established should continue to hold.

 

Those of you that would like more information regarding my strategies should call me personally 312-690-7763

 

Remember there are four important components regarding my strategies…

 

  1. Positions are established only in the upper or lower 25% of the Long-Term trading range.
  2. Positions are established only when my trend following methodology is up or down within that 25% parameter.
  3. Positions are held until positions reach the opposite extreme high or low. (The upper or lower 25% of the Long-Term trading range).
  4. Correct money management strategies must be implemented.

 

There is no question that more that 90% of commodity investors lose money…

 

And it’s true that my strategies also incur drawdowns…

 

But – What I offer is a way to be “in the market” when major commodity moves occur.

 

My strategies require one to maintain –

 

  • Patience
  • Commitment
  • Vision
  • Discipline

 

Those of you that have an interest in additional details regarding my strategies should call me personally. 312-690-7763.

Would love to hear from you.

 

In the meantime,

 

Have a great year trading!

 

Best

Frank

Questions? Ask Frank Petricca today at 312-690-7763.        
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