Monday, December 31, 2007

Soybean uptrend intact


The soybean uptrend on the daily chart is still intact. Prices closed today above the Exponential Moving Average, after closing below it on Friday in electronic trading. However, look at the massive selling, as indicated by the Klinger volume indicator in the subgraph (the red line). If this continues through the week, we are likely to see even stronger selling pressure emerge soon.