Tech Guy Opening Calls & Comments 4/12/23
May Wheat - 1 Higher
May Corn - 1 Lower
May Beans - Steady
September Soybean Meal is currently in an up leg which began on March 24th, the same day soybeans bottomed out then began rallying. The projection of this current leg up is the old high of 454.40 all the way up to possibly 460.
After this leg runs out of steam, we will watch for our next clues. As you will see on the meal chart, we are in an uptrend overall, which can also be described as an up channel bound by trendlines running across higher highs and higher lows.
Check out today's September Meal daily chart.
As was stated on Monday, May, July and December Corn all printed key reversals up - this was the end of a small correction down. Yesterday was a minuet (very small) correction after the big up day Monday and today was an up day of +5.25 closing at 656.25 in the May contract.
Therefore, the daily trend is firmly up and the next objective higher is anywhere from 685 to 700 (near term), in the May contract. After that, I expect sideways to lower for at least 3 to 4 weeks. During this corrective phase, I expect backfilling to between 655 and 640.
Check out all of these areas mentioned on the corn daily continuation chart.
May Soybeans is also in a daily uptrend since the March 24th low which is labeled (big 2) on the chart. The first leg up of this wave was 122 cents to 1527 and the small correction sold off to between 1483 and 1482 on last Friday into Monday.
The swing measure target for the next leg is about 1605. The 1482-83 low plus 122 cents equals 1604-05. After this rally, I expect a pullback/sideways for 3 to 4 weeks back to the 1555 level.
There may be some resistance at the 1585 level before 1604 is touched. We will have to evaluate real time to determine if the sellers overcome the beans at 1585. The 1585 and 1604 levels are marked with red arrows next to lines.
Here is the daily bean continuation chart. See if you can envision what I am saying.
May Crude Oil finally broke higher above the 82.00 resistance today. At the time of this writing it had traded up to 83.33 up +1.89 for the day. Now that crude has broken free of the tight channel it was trading in and resumed rallying, the next price target is between 90.40 and 93.00.
You will see the old highs on the left side of the crude chart at 93. Check out the crude 8 hour bar chart. It is not a coincidence that the measuring gap target is close to the old highs near 93- markets love to be symmetrical / to balance themselves out.