If sleepy smiley Princess Wheat wakes up -> $ZW tgt 620
Pls note that weekly chart already refers to ZWU6 September contract. For some reason tradingview source uses already the Sept contract on weekly as ZW1! first continous contract. Note: ZWN6/ZWU6 spread trades around +14
Weekly:
- Possible patterns being formed: rounded bottom June/2015 - June/2016 + Inverse H&S June/2015 - June/2016 = I call it a "sleepy smiley" bullish formation :-)
We also have a possible bullish wedge, where the major downtrend line was penetrated three weeks ago.
- EWO bullish divergence, value is briefly above zero now.
- Heikin-Ashi still shows some hesitation, with haDelta/SMA3 zig-zag around zero.
- Key levels for a decent bullish breakout: 495 and 525. If Wheat breaks above 525, it will deliver a multi-year startegic trend reversal, wih initial tgt to 600-640 zone!
Daily:
- There was a quick spike to a slightly higher high, which looked promising, but momentum was not enough to reak above 525 key resistance. Correction was stronger than I previously expected, Price dipped back below Kijun, but it seems spot Kumo, 100wma and minor bullish trendline supports started to work and block sellers.
- Ichimoku has a bullish bias with Price to Ichimoku system relation as kind of neutral. Bullish momentum would pick up above 490-4495.
- Heikin-Ashi shows loss of counter bearish momentum. We may have a buy signal in coming days from this important 470-480 support zone.
- EWO bounced back to zero. (neutral)
I think 472-479 is a good risk/reward accumulation zone to build initial 1 unit trade size. Initial stops has to be place ard 460. Leverage up position only if you see confirmning bullish signals!
Note: look what Soybeans and Corn have done so far! For now Wheat is the weakest among all, but if it is really a sleeping princess, sooner or later it might join them in the move!
Weekly:
- Possible patterns being formed: rounded bottom June/2015 - June/2016 + Inverse H&S June/2015 - June/2016 = I call it a "sleepy smiley" bullish formation :-)
We also have a possible bullish wedge, where the major downtrend line was penetrated three weeks ago.
- EWO bullish divergence, value is briefly above zero now.
- Heikin-Ashi still shows some hesitation, with haDelta/SMA3 zig-zag around zero.
- Key levels for a decent bullish breakout: 495 and 525. If Wheat breaks above 525, it will deliver a multi-year startegic trend reversal, wih initial tgt to 600-640 zone!
Daily:
- There was a quick spike to a slightly higher high, which looked promising, but momentum was not enough to reak above 525 key resistance. Correction was stronger than I previously expected, Price dipped back below Kijun, but it seems spot Kumo, 100wma and minor bullish trendline supports started to work and block sellers.
- Ichimoku has a bullish bias with Price to Ichimoku system relation as kind of neutral. Bullish momentum would pick up above 490-4495.
- Heikin-Ashi shows loss of counter bearish momentum. We may have a buy signal in coming days from this important 470-480 support zone.
- EWO bounced back to zero. (neutral)
I think 472-479 is a good risk/reward accumulation zone to build initial 1 unit trade size. Initial stops has to be place ard 460. Leverage up position only if you see confirmning bullish signals!
Note: look what Soybeans and Corn have done so far! For now Wheat is the weakest among all, but if it is really a sleeping princess, sooner or later it might join them in the move!
