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Wheatsignals

WHEAT Bearish pressure under the 1D MA50 and MA200.Wheat (ZW1!) has been trading within a long-term Channel Down pattenr since July 2022. The price is currently on a bearish sequence below both the 1D MA200 (orange trend-line) and 1D MA50 (blue trend-line). It appears that technically this is a Bearish Leg following the December 06 2023 Lower High rejection, similar to the one that started on the October 10 2022 Lower High. That sequence reached the Channel Down bottom on the 1.786 Fibonacci extension. As a result, our long-term Target is 455'7. ------------------------------------------------------------------------------- ** Please LIKE 👍, FOLLOW ✅, SHARE 🙌 and COMMENT ✍ if you enjoy this idea! Also share your ideas and charts in the comments section below! This is best way to keep it relevant, support us, keep the content here free and allow the idea to reach as many people as possible. ** ------------------------------------------------------------------------------- 💸💸💸💸💸💸 👇 👇 👇 👇 👇 👇
CBOT:ZW1!Short
by TradingShot
WHEAT Struggling on the 1D MA200. Long-term sell opportunity.Wheat (ZW1!) has been trading within a Channel Down pattern since July 2022 and since early December has failed repeatedly to detach itself above the 1D MA200 (orange trend-line). Since it is closer to the top (Lower Highs trend-line) of the pattern and it resembles the February 14 High, we expect a strong selling sequence if the price breaks below the 1D MA50 (blue trend-line). The previous Lower Low was priced on the 1.786 Fibonacci extension from the Lower High. That gives us a projected target of 413'0. ------------------------------------------------------------------------------- ** Please LIKE 👍, FOLLOW ✅, SHARE 🙌 and COMMENT ✍ if you enjoy this idea! Also share your ideas and charts in the comments section below! This is best way to keep it relevant, support us, keep the content here free and allow the idea to reach as many people as possible. ** ------------------------------------------------------------------------------- 💸💸💸💸💸💸 👇 👇 👇 👇 👇 👇
CBOT:ZW1!Short
by TradingShot
1
Should the WHEAT rally worry stock investors?The current war Ukraine has caused Wheat prices to skyrocket in February and March as Ukraine and Russia export 1/3 of world's wheat. Geopolitical unrest always causes commodity prices to rise, which is something I recently looked into in early March: As far as wheat is concerned though, it hit its All Time High (ATH), but hasn't closed the month above it, and voices in the markets have already started calling for food shortages and even civil unrest. Those stem from patterns studied as back in time as the U.S. Civil War, the French Revolution and more recently the Arab Spring. Indeed wheat, which is the primary ingredient in bread, has a long history as a commodity with significant political ramifications when the prices rise and availabilities become scarce. In TradingShot however, we don't yet share these worries as in the stock market era, there is a pattern showing that stocks are most likely safe, unless a certain thing happens. And that is a rally way above Wheat's ATH. Last time it happened was in mid 2007 and as a new top was made in February 2008, the stock market had already began what would end up in a massive correction due to the subprime mortgage defaults, the worst economic crisis in the U.S.A since the Great Depression. In more detail, it appears the S&P500 (black trend-line) and Wheat (blue trend-line) since the 2000 DotCom crisis, follow the same pattern as since 1968. The Wheat peak on Feb 1974, coincided with the big stock market correction of 1973/74. Then the Wheat ATH was tested 2 times (Nov 1980 and April 1996) but never closed a month above it (until as mentioned before 2007). The result was that the stock market (S&P500 as mentioned in our example), enjoyed its best historic bull run from late 1974 to mid 2000 (DotCom Bubble). Of course it wasn't just Wheat that aided to that expansion, but at least this chart shows that until Wheat rallies aggressively and makes monthly closes above its All Time High, we most likely don't have to worry about a stock market crash or other socioeconomic concerns such as famine, civil unrest, revolutions etc that are lately making headlines in the news. -------------------------------------------------------------------------------------------------------- ** Please support this idea with your likes and comments, it is the best way to keep it relevant and support me. ** --------------------------------------------------------------------------------------------------------
TVC:SPX
by TradingShot
2