CBoT wheat has put a long term bottom on the chart and is a long
Wheat:
We have called for a bottom on this chart during the past week when, during Wednesday's session, price drew a 'double key reversal' on the chart which was an 'engulfing bullish' candle as well and which both are quite powerful reversal patterns. Much to our dissatisfaction we saw price make a strong pull back during the Thursday session but this could be seen as a test back of the support as well, especially since both Thursday and Friday drew higher lows on the chart despite the strong pullback.
We keep our call for a bottom in this market unless we see the pivotal support at 390 broken in which case we will have to reconsider our bull case scenario for now. Still, we would like to see a decisive break of the 415 level to the upside as reconfirmation of our call for a long term tradable bottom in this market. We consider price to be in 'no-man's land' between the 2 essential values of 390 on the downside and 415 on the upside.
We have called for a bottom on this chart during the past week when, during Wednesday's session, price drew a 'double key reversal' on the chart which was an 'engulfing bullish' candle as well and which both are quite powerful reversal patterns. Much to our dissatisfaction we saw price make a strong pull back during the Thursday session but this could be seen as a test back of the support as well, especially since both Thursday and Friday drew higher lows on the chart despite the strong pullback.
We keep our call for a bottom in this market unless we see the pivotal support at 390 broken in which case we will have to reconsider our bull case scenario for now. Still, we would like to see a decisive break of the 415 level to the upside as reconfirmation of our call for a long term tradable bottom in this market. We consider price to be in 'no-man's land' between the 2 essential values of 390 on the downside and 415 on the upside.