ADM Is Coming Off From A Combination Of Fibonacci Levels, Can 78.6% Hold?

Archer-Daniels-Midland
The chart is KEY to this analysis.

Our last update on this stock was on 11/11/23 and in it we said,

Use 73.47 as the swing point for now.

Above it, there are a couple of key levels to look for that have a combination of retracements. The two most important highs to retrace to, are the ATH on 4/21/22 and the last high on 7/26/23 when it hit 61.8% back to the ATH. The first hurdle is 76.45, this is 23.6% to the ATH and 38.2% back to the 7/26/23 high. The short term trend will not turn positive until it can take out 38.2% and 61.8% of the same two highs at 81.00.

The 73.47 level (swing point) was 23.6% back to the 7/26/23 high (that high was 61.8% back to the contract high) and a major Gann square. Using it as the swing point it sat on that level for the next month and then went up to what we called the first hurdle at 76.45. The setback from this area has taken it to 71.25 this is 78.6% back to the 10/25/23 low. Following the ONE44 23.6% and 38.2% rule, we know any market that can't make a new high, or low from these retracements can be the first sign of a trend change and especially one that holds a 78.6% level, as this can also be the start of the next Bull run based on the ONE44 78.6% rule. This is what happened at the top on 12/27/22.

NOW,

Provided the 71.25 area holds, the next rally can take it to the short term swing point and combination Fibonacci retracement area at 81.00, since it already reacted to the 76.45 area. A failure to turn up from 71.25 can send it down to the long term swing point at 63.07, this is 38.2% of the ATH and ATL and a major Gann square.

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