March Wheat accomplished it's 2nd week in-a-row higher after the exhaustion gap week. Two up weeks in-a-row after an exhaustion gap is more confirmation of that swing low from 3 weeks ago being valid and a new up trend starting.
The Daily and intraday charts do not show the same information. It is quite remarkable. In other words, without a weekly wheat chart we would have no idea this is a strong low point. The daily and intraday charts show a market that appears to be struggling somewhat to even rally. We only need to be more patient. A picture is worth a thousand words with the weekly wheat chart.
These bars are called open-high-low-close or OHLC bars. The open for the week is the left hashmark near the low of the bar and the weekly close is the upper right hashmark.
From Thursday's March Corn comments - "The new 660 support level held nicely for today's March Corn contract. The fund buyers should make another run tomorrow." March Corn rallied about 6 cents on Friday.
March Corn should still be in the middle of a small leg up to 670 or higher, but the market paused Friday at some trend line resistance. We will have to see Tuesday's trade to know for sure if corn will backfill a small bit first, or leap over this line. You can see it on the 4 hour chart here.
March Soybeans is nearing the upside breakout - I can feel it. Friday's trade saw beans rally to near the top of the range again. Beans have been marking time more than price the last 10 trading days. Please check out Friday's updated chart here.
Feb Crude Oil update: Friday's trade saw oil continue to rally towards the first swing objective of 81.40. This is just a target, not necessarily where a correction/backfill will occur. It could rally to 85 before setting back any. A 3rd possibility could be a pullback from Friday's trade near the 80 level. Long weekends can make the markets do funny things when they re-open.
Often times, the 2nd leg up (3rd wave) will be an extension of the first leg. In our case here with Feb Crude Oil, the first leg was 8 points - the current leg could be 8 X 1.5, or 12 points - this would yield 85 and change. We will have to see what Tuesday's trade has in mind. Here is a slightly wider view on the crude chart.
Also, the US Dollar is not showing any signs of changing direction. It is still in a steady decline - this should continue to provide tail winds for US Markets.
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