The market completed a valid double bottom last week at the $4.00 level as this is an "emotional" number in the market. First area of resistance is going to be around the $4.30 range, and if we can close about that level I would imagine the market will make a run back into the $4.60 which is our next area of resistance. Let me know your thoughts.
The market is drastically oversold as we are right in the middle of wheat harvest in Kansas. I would expect to see a rally here back up into the $4.50's - $4.70's as that is a prior area of support/resistance and a 61.8 Fib Retracement. This would be a good place for farmers to look to sell or forward contract some more grain.