We continue to think March will return to 25/26 cents. The trend line all year comes in around 22 cents, if this level gives way we may re-evaluate. Whether I agree or not stocks appear to be moving higher. We will explore selling from higher levels with clients. My gut tells me metals are due for a correction, that being said we exited clients gold longs at a marginal profit today. We will stay with the silver as both metals should move in the same direction. On a correction we will buy back into gold, on a move higher we still are long silver.

A break in the clouds in the mid-west and grains were hit today. It is too bad we just missed our profit objective in corn and will now ride the position down. We think this leg lower will be short lived so recommend staying long. Soybeans were down almost 3% today, there could be another 40-60 cents in this leg. The entire Treasury complex moved higher today, we are bleeding a bit in the NOB spreads and short Euro-dollars but we will stay the course. Live cattle were mixed today; continue to accumulate longs in February. The ECB and BoE kept rates at current levels; ECB at 1.0% and BoE at 0.50%. As previously stated we will be looking for short opportunities in the Cable and Euro.

Risk Disclosure: The risk of loss in trading commodity futures and options can be substantial. Past performance is no guarantee of future trading results.

Tuesday's gains in the precious yellow metal, despite a stronger U.S. dollar against the other major currencies, is another bullish clue for gold. Usually, gold prices and the U.S. dollar index trade in an inverse price relationship. A close in December gold futures above the contract high of $1,072 would provide the bulls with fresh upside technical power and would suggest a quick challenge of resistance at $1,100.00 an ounce. It would take a close in December gold prices below strong technical support at the $1,025.00 level to produce some near-term chart damage and provide the bears with fresh downside technical momentum. Stay tuned! Jim Wyckoff

Treasury Bond and Note Option Trading Recommendations

**There is unlimited risk in naked option selling.

October 15 - Yesterday afternoon, our clients were advised to sell puts against a possible Thursday plunge. We recommended to sell the December T-bond 112 and 113 puts for 20 and 26 ticks respectively, or about $312 and $406 before commissions and fees.

October 20 - Our clients were recommended to exit the 112 puts near 6 ticks and the 113 puts near 8. Fills on the 113 puts were coming in at 9, we recommended to make the 6 tick buyback on the 112's GTC. Those that still have a short 113 put open, we recommend a GTC order to buy it back at 9 or 10.

· These orders have all been filled, you should be out of this trade.

Treasury Bond and Note Futures Trading Recommendations

**There is unlimited risk in trading futures.

Flat

Carley Garner
Senior Analyst / Commodity Broker
DeCarley Trading
cgarner@DeCarleyTrading.com
1-866-790-TRADE
Local : 702-947-0701

www.CarleyGarnerTrading.com
www.DeCarleyTrading.com

*Due to the volatile nature of the futures markets some information and charts in this report may not be timely.

There is substantial risk of loss in trading futures and options.

Past performance is not indicative of future results. The information and data in this report were obtained from sources considered reliable. Their accuracy or completeness is not guaranteed and the giving of the same is not to be deemed as an offer or solicitation on our part with respect to the sale or purchase of any securities or commodities. Any decision to purchase or sell as a result of the opinions expressed in this report will be the full responsibility of the person authorizing such transaction.

Reports also came from Beijing (China) stating it should increase its holdings of Euros and Yen certainly contributed to a weak Dollar early. However, the late selling of financial stocks started the slide in the Dow Jones beneath the 1000 psychological level, the sell-off in the Crude Oil, and very strong Dollar rally to name a few sent the Gold market negative and settling on its lows. ($1042.80) This is a sure sign of an over- bought market accompanied by a nervous trading community.

it appears at the slightest lack of momentum the Gold traders head for profits and opportunities to re-enter at cheaper prices.Despite the surprising and sudden Dollar strength today do not expect the International investment community to change their strategies unless there is a change in the U.S Administrations policies.

Reports 10/27/09

Consumer confidence..........9:00 am (CST)...
The following are my swing numbers for 10/27

(DECEMBER GOLD)

RESISTANCE #2...............$1063.00
RESISTANCE #1...............$1054.00
PIVOT..............................$1048.00
SUPPORT #1....................$1038.00
SUPPORT #2....................$1033.00

Mike Daly / Gold Specialist

PFG BEST

mdaly@pfgbest.com

877-294-4669
312-775-3014
312-563-8029

*There is EXTREME risk trading futures,options,and forex

It's common knowledge that the rise of gold depends on the two factors of inflation, and fear. Usually, inflation occurs when the economy is growing, and when there's growth, there's little sign of panic or fear among market participants. Inflation leads investors to diversify, and gold appreciates. In the other case, where fear prevails, gold is expected to appreciate as a source of safety against the unreliability of other kinds of financial assets. Although so far gold has not demonstrated that conviction forcefully, as investors flock to government paper in times of crisis, its quick return to popularity shortly after periods of turmoil demonstrates that traders attach fundamental value to the asset at times of long-term uncertainty. Still, as we see, the two conditions of gold's appreciation are more or less mutually exclusive; if there's inflation, there's probably little fear, and if investors are fearful, inflation is likely to be subdued.

The mega-bull gold market, if we substitute this term for a gold bubble, would materialize if these two factors of fear and inflation can somehow come together to create optimal conditions for very sharp appreciation. If dollar begins to depreciate out of control, even without domestic demand, inflation would be inevitable, with widespread panic and fear leading to the complete destabilization of the system. If the U.S. dollar ceases to inspire confidence as a source of value, gold could easily skyrocket to astronomical levels of many thousands of dollars.

The problem with the "Gold 5000" or more scenario is that it is very difficult to see the dollar lose it's status as the global currency in the next five ten years barring a major economic cataclysm destroying the international financial system. With about two thirds of global reserves denominated in the U.S. dollar, most of the debt issued in the world is also sourced through some kind of dollar borrowing, which leads to the currency gaining in value as economic confidence evaporates. The financial actors, including governments, and major financial institutions will do anything to prevent a dollar collapse. But they may fail given how optimistic their assessments usually are, and if they do, nothing will be able to halt the rise of gold. No forex trading course or government briefing will tell you how to anticipate such a situation, and the only way of avoiding being at the bottom of the list of losers is remaining up-to-date with the commodity market at all times. One thing is for sure: gold has held its value over the centuries, and it will remain an attractive asset regardless of the wisdom of future decisions taken by politicians and investors.

Sugar prices were lower by 2.5% today. On a further break we will be looking to get clients long again. Cocoa should break in the next couple days if the dollar can garner a rally. As for currencies today it is far from a victory but the Loonie was lower by 2 cents today; we are short with clients looking for .9400 on the December contract. The Euro is showing signs of a top, ideally we would see a trade down to 1.47 in the coming sessions. Equities were lower but still it is way too early to call a top. Clients remain short put spreads at a slight loss. Grains were uneventful, still looking for an entry from lower levels in corn and wheat.

Gold and silver could go either way so we will continue adapt to the ever changing market conditions. For those of you that are not clear markets are volatile and I do reserve the right to change my mind if that's what we feel is in our client's best interest. We think gold and silver will be much higher 12 months from now but 12 days who knows? There are just too many variables. Treasuries were higher and although a bit shy of our objective we advised clients to exit their NOB spreads at roughly a $850 profit per spread. Live cattle were sideways but we did get a second consecutive close over 86.00 in the December contract. Continue to buys dips. Lean hogs broke lower as we anticipated; our objective is 51.00 on the December contract.

Risk Disclosure: The risk of loss in trading commodity futures and options can be substantial. Past performance is no guarantee of future trading results.

As we enter into November, we are in the last two months of the year, which, if you went long in March of 2009, has been a good year. Had you not gone long and left your portfolio alone for the entire year, it seems as though you would be approaching even for the year. For those of you who sold out at the bottom of the market and ran into cash, you are watching this rally, anticipating the next retreat for a buy. This has been the general behavior of the market, short shallow retreats leading to up thrusts in the market. While we believe that the market is not cheap, if you invest in stocks paying a good dividend and position options as a conversion, you can reap the dividend without much risk. Sometime, a conversion is called a collar. Remember if you do put this strategy into effect, sell the call for after the time the dividend is due. You must take care to collect the dividend or, that strategy will be a bust.

The trashing of the US Dollar has an immediate effect on those companies that export around the world, that is, they make money on the increased trade attributed to the declining dollar. As the US dollar drops in value, our merchandise becomes cheaper and cheaper, thus we attain a competitive advantage. Our trading partners don't like that and will likely try to support the US Dollar rather than losing sales because of the weak dollar. It is likely that either our trading partners will support the US Dollar or trash their currency. Interesting thoughts. Another interesting thought is that insomuch as foreign funds own a great deal of US Dollars, it is likely that they will buy stuff with the US Dollars rather than sitting with low interest rates on a depreciating currency. Perhaps they will buy our stocks which will compensate them for the risk.

As we continue on in earnings season, much of the gloom and doom is being removed from this market. The companies are, for the most part, reporting better than expected earning and they are looking forward to improvement in the economy. Companies have done well during these difficult times, watching their bottom lines, and working at high efficiency. The only thing that doesn't look good, right now, is the employment market. So far, sales jobs have returned to the market but little else is opening up. We need to see an improvement in temporary help and hours worked before we see some improvement in the job market.

Today marks the seventh consecutive positive day for Crude oil. The momentum is certainly up but this one got away from us. We will be looking for a long entry on the next retracement for clients. The good news is we did buy natural gas options for clients yesterday, prices were up by 6.5% today. On the highs today prices were against stiff resistance, because of this we suggested clients to buy November $4.25 puts against their January $6/7 calls on the close. On a 2o-30 cent correction early next week we would exit the puts. We advised clients to lighten up booking a partial profit on their March sugar calls today. We feel the recent OJ appreciation of 25% is too much. Clients bought January 105 puts today looking for a trade back near $1.

Agriculture was quiet today, next week should be determined by the next few days weather and if farmers can get in the fields. We suggest buying corn and wheat from lower levels. Additionally on a sell off in oats near $2.35 exit your December puts. With all the hype gold and silver ended the week about the same levels they started the week. Long term we are extremely bullish but short term who knows?

If the double bottom holds in Treasuries we should bounce; we advised clients to enter NOB spreads today. They went long December 30-yr bonds against a short in 10-yr notes. If they pick up 1 basis point on the trade we would exit. Cattle look to be building a solid base. Let's see how the market digests today's cattle on feed report. To me it looks neutral. As for currencies we feel the Loonie is due for a setback but would caution a large position being BoC meets next Tuesday. We got clients short futures and sold puts as a hedge. On a pullback we would expect a move to .9400 and then look for an exit door.

Risk Disclosure: The risk of loss in trading commodity futures and options can be substantial. Past performance is no guarantee of future trading results.

In the short term, traders move money, in the long term. events move markets. What does this mean? In the short-term market events are determined by traders moving money around from one asset class to another in frantic reaction to various market events. These short-term reactions are for the most part unpredictable. In the long-term however, markets themselves are moved by events in a way to a degree that is way beyond the speculative flow of money from one place to another, as they establish long term patterns in the behavior of major actors (like banks, large firms, governments) which are then called trends. And these trends are often the most important determinants of market action.

Let's see an example of a hypothetical scenario where a small change in U.S. interest rates has repercussions across many markets. When interest rates fall, for example, the yield (interest earned) of government bonds also falls, which leads investors to sell the currency. Since falling interest rates often signal future strength of economic activity, and consequently higher demand for commodities, some of the dollar sellers will use their funds to purchase commodities like oil, driving up their price. This, in turn, will cause the currencies of nations like Canada or Russia to appreciate, since they are oil exporters. In turn, these exporters will use their own trade surpluses to purchase assets in advanced economies like Europe or the U.S., for example, driving up stock prices.

The hypothetical scenario above should show that the degree of interconnectivity in market events is very high. Even so, due to its role as the middle market, so to speak, the forex market is perhaps the most reactive of all markets. How can we use this knowledge for practical results? First we must be more careful in adjusting leverage, because the reactive nature of the forex market makes it more volatile. Second, as traders we need to keep track of events in more than one market, because forex can be influenced by disturbances in any financial market. And finally, we can exploit periods of divergent movement in the markets for profit. For example, if the dollar rallies as interest rates fall, we can anticipate that this short-term imbalance will be corrected in the future, and sell the dollar in expectation of future gains.

In short, forex is not an independent market. It is a part of a whole that is influenced by all kinds of events in the political and economic fields. After all, that's why we should always seek forex brokers which offer a news stream service if we seek to make use of fundamental analysis in our decisions.

On the Geo-political front it has been reported that Britain has ordered financial companies to cease doing business with two Iranian firms Bank Mellat and the Islamic Republic of Iran shipping lines, amid alleged nuclear links....

This Market is over-bought however, the Gold Market is the inflationary choice and until there Is steady support for the U.S Dollar...investors will continue to buy it.

The following are my swing numbers for 10/13/09
(DECEMBER GOLD)

RESISTANCE # 2...............$1067.00
RESISTANCE # 1...............$1062.00
PIVOT.............................. $1055.00
SUPPORT #1.....................$1050.00
SUPPORT # 2....................$1043.00

*There is extreme risk trading FUTURES,OPTIONS,and Forex*

**There is unlimited risk in naked option selling.

October 1 - Our clients were recommended to sell the December Bond 128 calls for 25 or better. (Sorry, there was a typo on the original...it was the 128's not the 129's).

October 2 - Those with margin and guts were able to add on to their short call position at better prices. Fills on the 128's came in at 35 and 23 for the 129's.

ท October 6 - Those trading multiple lots were advised to peel one off of the table at a profit. The 128 fills were coming in at 19 and the 129's at 12.

**There is unlimited risk in trading futures.

Flat

Carley Garner
Senior Analyst / Commodity Broker
DeCarley Trading
cgarner@DeCarleyTrading.com
1-866-790-TRADE
Local : 702-947-0701

www.CarleyGarnerTrading.com
www.DeCarleyTrading.com

There is substantial risk of loss in trading futures and options.

Past performance is not indicative of future results. The information and data in this report were obtained from sources considered reliable. Their accuracy or completeness is not guaranteed and the giving of the same is not to be deemed as an offer or solicitation on our part with respect to the sale or purchase of any securities or commodities. Any decision to purchase or sell as a result of the opinions expressed in this report will be the full responsibility of the person authorizing such transaction.

Today's Gold session traded all-time High's. Once again a very weak U.S. Dollar and Inflationary expectations fueled a mammoth rally in the Gold today. It started with the Australian Central Bank raised rates more than expected.The Australian Dollar jumped to a 14 month high. Gold futures climbed to $1044.70 (day session) While the U.S Dollar dropped 0.6 % against a basket of 6 currencies. Gold is becoming the "DOMINATE" world currency. The continued U.S Dollar weakness has investors concerned this will accelerate pending inflation. Also remember we are now in "VIRGIN" territory......

The following are my swing numbers for 10/07/09

(DECEMBER GOLD)

RESISTANCE #2........................$1053.00
RESISTANCE #1........................$1046.00
PIVOT.......................................$1038.00
SUPPORT # 1............................$1031.00
SUPPORT # 2............................$1023.00

Mike Daly /Gold Specialist
PFG BEST
mdaly@pfgbest.com
877-294-4669
312-775-3014

* THERE IS EXTREME RISK TRADING FUTURES,OPTIONS,and FOREX*