Gentleman/Lady Gentleman/Lady Benavente Women’s 111311 Shoes B07CSTCHR2 Parent Crazy price Parent price special function Non-slip e3eaf8d

Gentleman/Lady Gentleman/Lady Benavente Women’s 111311 Shoes B07CSTCHR2 Parent Crazy price Parent price special function Non-slip e3eaf8d -

While 2016 fades in the rear-view mirror, market trends from last year will continue to play an important role in 2017. Therefore, analyzing and understanding data from 2016 may help get your portfolio best positioned for the new trading year.

For example, both gold and crude oil experienced significant (and possibly unexpected) price action during 2016.

In fact, it wasn't that long ago that a slide in crude oil threatened to take down worldwide equity prices when prices slumped below $30/barrel in February 2016.

After bouncing ever-so-slightly due to reduced global production (improving supply/demand equation), crude oil truly took flight when OPEC started discussing (and ultimately agreeing upon) a coordinated supply cut. Due in large part to this OPEC activity, crude oil marked its biggest annual gain since 2009 as West Texas Intermediate (WTI) rose 45% during 2016.

With the oil cartel's production cuts scheduled to kick off at the start of 2017, the direction of oil prices in early 2017 will be largely dictated by OPEC's adherence to the deal. Worldwide oil production data for January of 2017 should be available in early February.

While gold prices followed a similar upward trend alongside crude oil for the bulk of 2016, this well-known commodity reversed course dramatically during the last couple months of last year. The early bullish trend in gold was likely due to the US Federal Reserve's decision to hold off on an interest rate hike throughout the first three-quarters of the year.

Likewise, the drop in gold prices at the end of 2016 was related to expectations (later proven correct) that the US Federal Reserve would raise rates at their December meeting. With the Fed guiding for three more increases in benchmark interest rates in 2017, gold prices movement in 2017 will hinge to a great degree on the actions of the US central bank.

Generally speaking, rising interest rates catalyze a strengthening US Dollar, which in turn weakens gold. However, gold prices can also be affected by perceived threats to the global economy (i.e. "flight to safety) and other factors.

It's possible you've already mapped out a plan for 2017 in crude oil and/or gold that fits your existing portfolio, outlook, and risk profile. However, if you are still considering new ideas for the coming year, a recent episode of Closing the Gap - Futures Edition may be a great place to start.

On the show, hosts Tom Sosnoff, Tony Battista, and futures expert Pete Mulmat outline a pairs trading idea that involves crude oil and gold futures. While the show includes a wide-ranging discussion on both commodities, the crux of the rational for the the trade involves the "Gold/Crude Ratio."

Obviously, picking the direction of either commodity over the course of 2017 is extremely difficult. That's why the trade detailed on Closing the Gap is deployed using a reference point that measures the historical relationship between the prices of the two commodities.

The Gold/Crude Ratio is calculated by dividing the current price of crude oil into the current price of gold. With gold currently trading about $1152/ounce and crude oil trading $54/barrel, that means the Gold/Crude Ratio currently stands at roughly 21 (1152/54 = 21).

As you can see in the graphic below, the current value of the Gold/Crude Ratio is somewhat depressed compared to recent history:

Gentleman/Lady Gentleman/Lady Benavente Women’s 111311 Shoes B07CSTCHR2 Parent Crazy price Parent price special function Non-slip e3eaf8d -
Women's Sneakers Shoes Trainers Spring Fall Slip On Lightweight Running Shoes Outdoor Breathable Sneakers Casual... Parent B07D1NB8YD , Carolbar Women's Fashion Chic Rhinestones Mid Heel Dress Sandals B071D3MCF9 Parentsafety toe cap lined rigger boot Parent B001PT13MEKPHY-Summer Mesh Breathable Thick-Bottomed Casual Shoes Ladies'Shoes White Thirty-Seven B07GHB7PL8 Parentwomen's Latin dance shoes for adults/Communicative social dance shoes/ high soft bottom dancing shoes B01NGUGYP7 ParentMiss KG Rose, Women’s Open Toe Sandals B01MCWQYN0 Parent , Gentlemen/Ladies Nina Women's Henriq Boot B005DWMB2K Parent for you to choose a variety of Perfect processingSplendid Women’s River Ankle Boot B07226RZ34 ParentNero Giardini Women’s Manolete Cuoio Ankle Boots B07DH8JZSB Parent , GRRONG Woman's Shoes High Heels Women's Singles Shoes Big Size,Blue-35 B073TRD9GY Parent , JKHGJUH Fashion Chain Turquoise Weave Barefoot Sandals Anklet Foot Chain for Women Girl B07GNFP8CZ Parent , Gentleman/Lady Softline Women’s 25465 Boots B06VSKVC19 Parent Comfortable feeling Win the praise of customers CharacteristicsLow heel and women's boots in autumn and winter in Europe and America B078DM13QP ParentMen/Women Rieker 50620, Women’s Boots B00WHIHT34 Parent Fine workmanship cheapest Reliable reputation , Tianrui Crown Women & Ladies The 3D Embroidery Sandal Slipper Shoes B074MRMQQX ParentMan's/Woman's Pleaser DOM456/B 6" Femmes B002QWAZMS Parent Quality products real Elegant and solemnSkechers Women’s on-The-Go 600-Brilliancy Ankle Strap Sandals B072T2VSVL Parent , PELLINA 3 UK / 36 EU Women's Court Shoes Brown Leather Bronze AF782 B01N6QU6O9 Parent , Dune Women’s Ballay Closed-Toe Heels B06XYV6KNV Parent , Carlos by Carlos Santana Womens Thea Leather Pointed Toe D-Orsay Pumps B01DK9QX7Q Parent , Nine West Women’s Katherine Fabric Heeled Sandal B071RZJ3PS ParentEasemax Women's Chic High Chunky Heel Open Toe Ankle Strap Sandals B075KNQ7PR Parent , Demonia creeper-104 - gothic punk industrial punk industrial creeper shoes 3,5-8 B00A48FIIM Parent , Women's sandals cross strap sandals thick with sandals Roman style sandals B07DR1K253 Parent , ZHZNVX New sexy stilettos cross buckle female sandals package pointed yellow black pink single with patent leather... B07DPLCHFZ Parent , L'ARTISTE by Spring Step Women's Anjula Gladiator Sandal,Bordeaux Multi Leather, B06XKF8N9L Parent , Ara 12-32079-01 Brügge women Pumps width K B00HQ5781Q Parent , GTVERNH Women's Shoes/Fashion/Cool Slippers Heels Shoes Rough Heels Outside B07DZ26BSD Parent , Finchley Perfect Ladies Sandals (6 UK, Multi Coloured) B0771MJ2KQ ParentYUCH Female Student Sandals Toes Flat Belts Zipper Boots B07DLCH9DV Parent

According to the above data, traders expecting a reversal in the Gold/Crude ratio could express their opinion by purchasing gold futures and simultaneously selling crude oil futures. Obviously, the ratio goes higher (i.e. the trade wins) when either gold prices move higher, when oil prices move lower, or both.

For a complete explanation of this trade we hope you'll take the time to review the full episode of Closing the Gap - Futures Edition focused on pairs trading these two global commodities.

While this trade structure may not fit your current portfolio and/or risk profile, it's possible that ever-changing market conditions may make it look more favorable at some point in the future.

If you have any questions about futures or any other trading topic, we hope you'll reach out at

In the meantime, we wish you all the best for a great new year!

Sage Anderson has an extensive background trading equity derivatives and managing volatility-based portfolios. He has traded hundreds of thousands of contracts across the spectrum of industries in the single-stock universe.

Gentleman/Lady Gentleman/Lady Benavente Women’s 111311 Shoes B07CSTCHR2 Parent Crazy price Parent price special function Non-slip e3eaf8d -

Gentleman/Lady Gentleman/Lady Benavente Women’s 111311 Shoes B07CSTCHR2 Parent Crazy price Parent price special function Non-slip e3eaf8d Shoes