COMMODITY FUND (DBC)

 

Company Profile

The Invesco DB Commodity Index Tracking (Fund) seeks to track changes, whether positive or negative, in the level Commodity Index plus the interest income from the Fund’s holdings of primarily US Treasury securities and money market income less the Fund’s expenses. The Fund is designed for investors who want a cost-effective and convenient way to invest in commodity futures. The Index is a rules-based index composed of futures contracts on 14 of the most heavily traded and important physical commodities in the world. The Fund and the Index are rebalanced and reconstituted annually in November.

What Happened?

Commodity Prices has been in a down trend or Bear Market since the 2008 High. Most Investors do not own Commodities now while they are low priced, but with many years of FED Printing and massive Gov’t Stimulus, we could see Commodity Prices eventually return back to the 2008 Highs (possibly a Double or Triple.

This Fund needs to have a technical Break Out above $18.12 to begin another Bull Market.

When to Buy?

Wait for Commodity Fund (DBC) to Close above $18.12 with High Volume.

Objective

After a Break Out above $18.12 to begin another Bull Market, we could see this Commodity Fund Double in price when the Herd gets back in, like they did in 2008.

Follow the Rules: Above the Green Line + Above 90 Relative Strength

Daily Investment Commentary