Below we highlight our trading range charts for ten major commodities. The green shading represents two standard deviations above and below each commodity's 50-day moving average, and moves above or below the green shading indicate that the commodity is in extreme overbought or oversold territory. With the huge drop in commodity prices in recent months, it's no surprise that all ten are closer to the bottom of their ranges than the top. Judging by the charts, oil, platinum and copper have had the steepest declines, while gold and coffee have held up the best. And it's pretty intriguing that platinum and gold are trading at pretty much the same prices, even though platinum is much rarer than gold. Platinum is currently trading at $800, while Gold is at $772. One reason for this parity other than the fact that gold is the key commodity to protect against currency declines could be that Platinum doesn't have an ETF that tracks the commodity, while Gold has quite a few.
Subscribe to Bespoke Premium to receive more in-depth research from Bespoke.
You can blame me for holding up the coffee...
Posted by: Tom Chechatka | November 21, 2008 at 11:03 AM
Platinum has an ETF and ETN: PTM and PGM
Posted by: Pieter van Leeuwen | November 21, 2008 at 05:21 PM
Is there an ETF for Coffee? i'm sure Tom and I would buy in L O L
Posted by: dj | November 21, 2008 at 09:44 PM