Louise Yamada, Managing Director of Louise Yamada Technical Research Advisors explains why she sees trouble ahead for commodities.
It's not just gold and silver down this year. Commodities across the board have been taking a hit in 2013. Wheat, gasoline, and both coffee and sugar are all down this year. Louise Yamada, Managing Director of Louise Yamada Technical Research Advisors, says it will only get tougher for commodities.
Yamada sees the Continuous Commodities Index (the CCI) as now testing an important level on the downside. The CCI is comprised of nineteen commodities as diverse crude oil, gold, live hogs, and orange juice. The index has dropped nearly 7% in the past year and closed at 517.08 on Monday.
"Five hundred is the critical support level," says Yamada of the CCI. "It goes all the way back to the breakout point in 2010."
"What been happening over the past three years is a series of lower highs," says Yamada. "A breakRead More »from Commodities are in a ‘death cross’: Yamada