As October closes and November begins, the market has thrown its fair share of curveballs at trend followers. This report dives into the volatility and rapid reversals that defined October, a challenging month for systematic traders. The TTU Trend Barometer reads a moderately weak 32, reflecting an environment where clear trends are elusive, and disciplined risk management is essential.

Key Market Highlights:

• Cocoa rose +7.75%, driven by supply disruptions in West Africa and a government-backed price boost for farmers in Côte d’Ivoire.
• Lumber increased +5.77%, supported by strong U.S. housing demand, hinting at ongoing strength in the construction sector.
• Soybean Oil advanced +5.16%, with rising biofuel demand and weather-related supply issues influencing the market.

On the downside:

• Natural Gas fell -14.33%, with warmer-than-expected temperatures and robust production contributing to oversupply.
• Palladium declined -8.16%, continuing its bearish trend as demand softens with the transition to electric vehicles and rising substitution by platinum in the auto industry.

This week’s market environment continues to underscore the importance of agility and adaptability for trend followers. While isolated opportunities are present, the broader market demands careful navigation as geopolitical and economic uncertainties persist.

Full Report Now Available! Dive into our comprehensive analysis and discover how trend followers are managing risk and seizing opportunities amidst October’s twists and turns.

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