No Secret: It’s A Technically & Fundamentally Acute Time for Corn
Posted on Jun 21, 2016, 09:31 by Dave Toth
Only a glance at a weekly or monthly chart is needed to see that this Jun/Jul period is an acutely pertinent one. Fundamentally, as we all know, early-Jul weather conditions can set the tone for weather during the remainder of the summer growing season. Of course, depending on the weather, sharp, sustained moves can be BASED from late-Jun/early-Jul price levels. Knowing the importance of this fundamental condition, deft navigation of technical conditions can aid tremendously it favorable risk/reward positions that could ultimately end up being held for months.
In 14-Jun’s Technical Blog we identified 10-Jun’s 4.27 low as the latest corrective low and new key risk parameter the market needed to sustain gains above to maintain a more immediate bullish count. The daily log scale chart below shows that the market’s failure below this level this morning confirms a bearish divergence in momentum that defines Fri’s 4.49 high as the END of the rally from at least 10-May’s 3.75 low, and possibly from 01-Apr’s 3.64 low. Per such, 4.49 is considered our new key risk parameter from which all non-bullish decisions like long-covers and cautious bearish punts can now be objectively based and managed.
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