Soybean - Weekly - Time to plant the investment seed.
With all the hype about volatile cryptos, sky rocketing indices and fluctuating currencies, the world has forgotten about something that feeds us all.
Certainly, when there is no shortage, why to bother, right? Human nature... A lot of people like fried food, well guess where some of that oil comes from?
From the fundamental side, if inflation starts hitting higher levels, then we can expect that to have a direct effect on the commodity sector. Logical.
Some reports say, that Hedge Funds are starting to change their bearish outlook on agriculture to a more bullish. Positions are being taken slowly, as everyone is still trying to squeeze everything out of equities.
The world's biggest suppliers are situated in the North and South America. We didn't have any serious cataclysms, affecting the crops for quite a while. And we all know that these things tend to happen.
From the technical side, we can see that the chart is forming a triangle and at the same time, a potential squeeze is developing. My view is that this triangle will get broken and we will see some good moves. I believe in the upside. Will that be the case? Can't say for sure. But we are all in this speculative game.
My target for now is 10, which is close to 200 MA, that might get broken, if the price get's closer to it.
Take care and keep an eye on the price action!
Certainly, when there is no shortage, why to bother, right? Human nature... A lot of people like fried food, well guess where some of that oil comes from?
From the fundamental side, if inflation starts hitting higher levels, then we can expect that to have a direct effect on the commodity sector. Logical.
Some reports say, that Hedge Funds are starting to change their bearish outlook on agriculture to a more bullish. Positions are being taken slowly, as everyone is still trying to squeeze everything out of equities.
The world's biggest suppliers are situated in the North and South America. We didn't have any serious cataclysms, affecting the crops for quite a while. And we all know that these things tend to happen.
From the technical side, we can see that the chart is forming a triangle and at the same time, a potential squeeze is developing. My view is that this triangle will get broken and we will see some good moves. I believe in the upside. Will that be the case? Can't say for sure. But we are all in this speculative game.
My target for now is 10, which is close to 200 MA, that might get broken, if the price get's closer to it.
Take care and keep an eye on the price action!