July Wheat - Steady
July Corn - 1 Higher
July Beans - Mixed to 2 Lower
July Soybeans had a very bullish reaction to yesterday's V/Doji bottom formation, and rallied almost 30 cents today. Beans made a high just above our target of 1331 by printing 1335.25, and settled a handful of cents below this mark.
Support should be found in the 1325 to 1322 area for tonight and tomorrow where two support lines intersect -1305 below if necessary. Friday's upside target should be in the vicinity of 1348, give or take 3 cents.
This area above in beans is the spot that I formerly stated we needed a close above to confirm a no doubt breakout. If we get a close near 1348 tomorrow, we can start thinking about the Sunday night open.
This is pure speculation based on some known facts and some possible future data. A close tomorrow near 1348 or above. If Sunday gaps up to 1360, we can measure to 1437, based on the distance from the low (1270.75) to Friday's possible high of 1348, which is 77 cents. The job at hand for beans is to work through the congestion between 1320 and 1348.
Here are the July 4 hour and daily soybean charts, in that order, showing support and targets above.
The July Corn fund bulls tested the 606.5 area today, which was Monday's high. I don't know for sure, but it doesn't appear corn will test Monday's low again at 577.5. Instead, it looks like an ascending triangle (bullish) is forming with the high at about 606.5.
The lower triangle line should be support for tonight and tomorrow. Also, an inverted head & shoulders pattern has emerged, with the triangle part of the right neckline and shoulder projecting to 665 - take the 59 cents low to high and add it on to 606.
Check out the triangle that's drawn on the 4 hour July Corn chart.
The July Wheat low held today. The close was 611.25 and if we can get an up move that eclipses an old high at 625 on a closing basis, then we will be more assured that a good bottom is in place. Here is the updated July Wheat 4 hour chart -
July Crude Oil Update:
Crude's been consolidating since last time we looked at it. Another triangle formed then oil broke down from that to test an old support area and then bounced up today closing at 70.14.
Now that I see a clear A-B-C sideways corrective move, the probability increases that crude will begin another leg up. The next target higher for oil is from 78.50 to 83.50, the latter of which is an old swing high from April 12th-13th.
These targets are derived from a 1X the first leg of 10.5 and 1.5 X 10.5. Then you add these numbers to the low that is C at 67 dollars.
Check out today's July Crude 4 hour chart - see if you can count the 5 waves/legs between A and B, and the 3 waves between B and C. Large waves are always constructed from smaller waves whether you're looking at a monthly chart or a 1 minute chart.
