1. Lean Hog Futures Bulls Gain Fresh Technical Strength

Lean Hogs | Futures Chart

April lean hog futures on the Chicago Mercantile Exchange on Thursday hit a fresh four-week high of $71.75 as of this writing. Prices are presently in a steep four-week-old uptrend on the daily bar chart, from the February 1 low of $65.65. The bulls have regained good upside near-term technical momentum the past two trading sessions. The next upside technical objective for the energized hog market bulls is pushing and closing April futures prices above strong technical resistance at the January high of $74.25. Below that key price level does lie chart resistance at $72.00, $72.50, $72.65, $73.00, $73.50 and then at $74.00. The hog market bears would gain fresh downside near-term technical momentum by producing a close below solid chart support at this week's low of $69.05, which would negate the aforementioned price uptrend on the daily chart. Above that price level does lie chart support at $71.00, at Thursday's low of $70.85, $70.45, $70.00 and then at $69.60.

Jim has an excellent daily newsletter where he reviews different markets, alerts you for potential trades and much more. Included is his great bi-weekly newsletter with charts and a little longer term outlook. We recommend checking out his website, educational CDROM, and services at Jim Wyckoff

2. Educational Spotlight: Chart Patterns

Occasionally in our newsletter, we will feature various tools that we feel may be helpful to you as a trader. This week, we'd like to encourage you, especially if you are a day trader, to take a look at E-Futures Chart Patterns.

Learn about 20 of the most common chart patterns, how to identify them, and what they may mean for your trading.

Sample: Broadening Bottoms

Broadening Bottom isolated A broadening bottom is a chart pattern that can occur on an downward trend. It is generally classified as a reversal pattern but some traders argue that there is approximately a 50/50 split between whether it tends to move upwards or downwards upon completion of the pattern. For this reason, it can often be avoided by traders. It can be viewed as the opposite of a symmetrical triangle.

How Do I Recognize a Broadening Bottom Chart Pattern?

A broadening bottom is comprised of diverging support and resistance lines and resembles a megaphone. The rising resistance line and falling support line continue until the trend reverses.

See the example below:

Broadening Bottom example

What Does a Broadening Bottom Chart Pattern Mean?

This is a less common chart pattern pointing to a highly unstable market. As support drops and resistance rises, volatility increases.

Register now! Other chart patterns include:

Double Tops
Double Bottoms
Flags
Pennants
Head and Shoulders Tops
Head and Shoulders Bottoms
Triple Tops
Triple Bottoms
Broadening Tops
Broadening Bottoms
Ascending Triangles
Descending Triangles
Symmetrical Triangles
Cup and Handle
Diamond Tops
Diamond Bottoms
Rectangle Tops
Rectangle Bottoms
Rising Wedge
Falling Wedge

E-Futures Chart Patterns are part of E-Futures Private Content. Register now and receive lifetime access for free.

3. Economic Calendar

Source: Moore Research Center, Inc.

Date	Reports	Expiration & Notice Dates
02/25 Thu	7:30 AM CST - USDA Weekly Export Sales 7:30 AM CST - Initial Claims-Weekly 7:30 AM CST - Durable Orders(Jan) 9:00 AM CST - FHFA Housing Price Index(Dec) 9:30 AM CST - EIA Gas Storage 3:30 PM CST - Money Supply	FN: Mar Natural Gas(NYM)
02/26 Fri	7:30 AM CST - Dairy Products Prices 7:30 AM CST - GDP & GDP Deflator-Second Estimate(Q4) 8:45 AM CST - Chicago PMI(Feb) 8:55 AM CST - U Mich Consumer Sentiment-Final(Feb) 9:00 AM CST - Existing Home Sales(Jan)	FN: Mar Silver(CMX) Mar Copper(CMX) Mar Palladium(NYM) Mar 2,3,5,10 Yr Notes(CBT) Mar 30 Yr Bonds(CBT) Mar Corn,Wheat,Soybeans,Soymeal,Soyoil(CBT) Mar Rice,Oats(CBT) LT: Mar Sugar 11(NYM) Feb Live Cattle(CME)
03/01 Mon	7:30 AM CST - Personal Income & Spending(Jan) 7:30 AM CST - PCE Prices-Core(Jan) 9:00 AM CST - Construction Spending(Jan) 9:00 AM CST - ISM Index(Feb)	FN: Mar Orange Juice(ICE) Mar Sugar 11(NYM)
03/02 Tue	1:00 PM CST - Auto & Truck Sales(Feb)	FN: Mar Heating Oil(NYM) Mar RBOB Gasoline(NYM)
03/03 Wed	6:30 AM CST - Challenger Job Cuts YoY(Feb) 7:15 AM CST - ADP Employment Change(Feb) 9:00 AM CST - ISM Services(Feb) 9:30 AM CST - API & DOE Energy Stats 1:00 PM CST - Fed's Beige Book(Mar)
03/04 Thu	7:30 AM CST - USDA Weekly Export Sales 7:30 AM CST - Initial Claims-Weekly 7:30 AM CST - Productivity-Rev(Q4) 7:30 AM CST - Unit Labor Costs(Q4) 9:00 AM CST - Factory Orders(Jan) 9:00 AM CST - Pending Home Sales(Jan) 9:30 AM CST - EIA Gas Storage 3:30 PM CST - Money Supply	LT: Feb Milk(CME) Feb Milk Options(CME)

* Please note that the information contained in this letter is intended for clients, prospective clients, and audiences who have a basic understanding, familiarity, and interest in the futures markets.

** The material contained in this letter is of opinion only and does not guarantee any profits. These are risky markets and only risk capital should be used. Past performances are not necessarily indicative of future results.

*** This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts herein contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgment in trading!