DCE Soy Meal 4171.00 target hit
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Our goal is to not only give you actionable information, but to help you understand why we think this is happening based on pure price analysis with Fibonacci retracements, that we believe are the underlying structure of all markets and Gann squares.
DEC Soy Meal
From our last update 9/18/22,
As you can see on the chart each of the lows on the current rally from the long term swing point (3480.00) has held key retracements. On 8/4/22 it was 61.8% and on 8/16/22 it was 38.2% showing a market getting stronger. Then again it held above 38.2% on 8/31/22 to keep the trend very positive.
After making a new high for the run up on 9/8/22 that fell just short of the 3930.00 major Gann square, it could only setback to 23.6% the next day, keeping the market extremely positive.
To keep this market extremely positive we would want to see a setback that held 23.6% again, this time it is 3930.00 and it is also a major Gann square. Provided it holds, the short term target is new highs for the year and the 4171.00 major Gann square. The long term target is the 4446.00 major Gann square.
The current trend will not turn negative until 38.2% of the rally is taken out, right now this is 3830.00. This level will have to be adjusted on any new high.
The market held above 3930.00 and they did go for new highs and hit the 4171.00 major Gann square target on Friday.
With the new high for the year, the long term swing point has now moved up to 3530.00.
On a break from the 4171.00 major Gann square, look for the area of 3930.00 and 3913.00, this is first a major Gann square and second, it is 38.2% back to the last time the market hit the long term swing point back in July.
Any setback from 4171.00 that does not get below 23.6% at 4030.00 keeps the trend extremely positive and you can look for new highs again.
With a solid close above 4171.00 we will look for the long term target and major Gann square at 4446.00.
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