Pre-Dawn Update! We had a chance to watch the first price action of the week and following up with last Thursday’s update, let’s get this ball rolling…
Kansas City Wheat
Indications about damage to U.S. crops prompted wheat futures to rise in value on Friday as the agricultural commodity pushed toward a third consecutive week of gains, according to Bloomberg.
Do we have a bounce set up in the Kansas City Wheat contract?
If it had not been for Wheat, human beings may never have socially and culturally developed as cosmopolitan as we have. Wheat was the first crop to be cultivated on a grand scale and stored long-term, enabling the start of city-based societies and the dawning of civilization.
This weekly feature examines chart formations, along with technical indicators, of two to three commodity markets. Breakouts of these formations may lead to trading recommendations published by the Trade Spotlight advisory service.
Simply put on why I like this idea: New crop plantings in the US have started and it is going well. Over time the unknown of the 2014 crop should keep it well supported. Old crop US supply, being harvested now and more “known” may be facing pressure as Southern Hemisphere production comes on line.
The Trade Spotlight advisory service applies the GBE trading methodology (buying or selling commodity contracts based on breakouts of chart formations and technical indicators) to identify one to two trade setups per week.