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Soybeans: Trend Down?

Published 07/08/2017, 07:01
Updated 09/07/2023, 11:32

From last time:

What has it also done is re-examine the trend? For the moment with three out of four MAs still pointing downwards it is appropriate to have a mildly bearish bullet point with a question mark. However, the rise on Friday has placed the Medium MA (currently 957) under potential threat if prices follow through higher. So if we do follow through then you might see a jump from mildly bearish straight to mildly bullish...if not more.

Examination was timely as the market gapped upwards, gapped again and finally made an Exhaustion Gap before heading back south.

Prices went up through MAs like they weren't even there and only paid a courtesy to them on the way down. The rally duly halted at an important Fib, the 50% Fib of the November 2015 - June 2016 move at 1026 % before coming back down (Long MA sliced like butter) then backing a filling in large a enough space to possibly form a Double/Triple Top. I've marked an initial target for such a move at about 925 with an 'X'. The move has given me an opportunity to draw a new Bearish Schiff Pitchfork for the whole of 2017...we are currently just below the Centre Tine (currently 953 /) resistance.

Support is currently at 945 /, 925, 912 %, 910, 901, 896 %, 892 % and 886.

Resistance is currently at 953 /(dynamic), 957, 968 %, 973 %, 984, 988 % (dynamic) - 990, 1007 %, 1011 %, 1018 - 1020 (dynamic) and 1026 %.

As mentioned last month and today, the market required examination and so did the bullet point - I've moved it to mildly bearish.

Soybeans Chart

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