Over the past few months, ZCH2017 has been more or less range bound.
Fundamentally we know a few things: 1. massive supply 2. decent demand 3. a season of south american planting that can make or break the US ag market.
We also know a few things technically as well: 1. A range bound chart that turns over at obvious support and resistance zones. 2. a possible ascending triangle in the works. 3. indicators suggesting short term moves
Fundamental Analysis: - In March we will be presented with a USDA report that will reveal the prospective plantings for American corn, and a decrease in acres could posses the strength to send this commodity through the resistance. Until then we can rely on information such as south american weather problems, or changes in export demand to trade the ranges.
Technical Analysis: - With the resistance and support zones in place, one can believe that this commodity will continue to trade the range until a breakout can been seen. Also, a continue price movement within the possible ascending triangle can give hope for a breakout to the top.
Many factors can be applied to ZCH2017 for near term trades, and this commodity will provide sufficient profit to traders that trade the range bound trends.
Until sufficient knowledge is produced, whether it be fundamentally or technically, I believe March Corn will continue to be range bound, which is why I am NEUTRAL MARCH CORN.
I guess for now we should all remember that famous saying, "the trend is your friend", no matter how short or long term it is.
I'm excited to see where this new year will take corn prices.