March Wheat - 1 Lower
March Corn - Steady to mixed, bids & offers run 677 to 682
March Beans - Steady
March Wheat hit a milestone today - closing above the 760 mark. This is where the last swing high on the left was marked on January 18th. Also, this level can be seen as a neckline in an inverted head & shoulders pattern.
Support is now updated to between 760 and 757. March Wheat appears to have taken care of all it's business in the 743-42 area. The next time the funds step into wheat en masse, 810 to 815 is in the cards. See what you think on today's chart.
We are zooming in a little bit on March Corn, because I want to focus on the consolidation pattern which has been forming since last Friday's trading session. This pattern is a triangle pattern with 5 inflection points.
When a market goes sideways/corrects right below an area of resistance, it means it is building energy for a move to go above that resistance. The odds are that when corn trades up through the neckline, it will not need to spend much time there, because it is taking care of that detail now (lurking below) - corn should be able to mark up price beyond the 691-92 level.
Note the range March corn has traded in on the upper right of the chart just below - blue lines. Instead of marking price now, It's been marking time. As you know, the clock that markets tick to is a push and pull/cyclical type - not linear time.
As y'all are aware, March Soybeans and meal are trading near the top of a big range, deciding how much more energy they need before starting a bonafide rally. Beans have been meandering up around, through and on a couple of supply/demand lines.
Today's chart is highlighting these lines and how price is behaving. It kind of reminds me of how a vine grows up or sideways on a trellise. Not unlike corn, beans are building up an energy store for times to come.
Energy building can be in the form of a backfill, sideways back and forth, or gradual climbing action like beans here. Some traders and analysts are seeing a head & shoulders topping pattern in beans here.
H & S formations don't always prove to be the dominate force at work. Price is climbing and elongating the right shoulder and trying to wash it out. See if you can identify this (not) pattern. Check out the updated March Soybeans here. Remember, the red lines are 1508 & 1529 levels being worked on.
March Crude Oil found support between the support lines today at 76.55. It appears to be starting a new up leg. Follow through buying will need to confirm this tomorrow.
March natural gas has followed up the doji from 2 days ago with 2 more and seems to be marking a tri-star which is a candlestick pattern made of 3 little Doji's or Doji crosses. This pattern, when it occurs after a long sell off, is usually telling us that the bulls are putting an end to the down action. Check out this great example of a zoomed in tri-star.
