Corn has not only achieved a new all-time closing high, but has also closed outside of the Bollinger Bands, and it represents a perfect Cahen T1 (see his book in my list at the right side of this blog). This daily chart shows the emergence of what may be a new trend for corn. This is a strongly bullish signal, and when combined with strong volume, as this shows on the Klinger Volume indicator, it has a very high probability of success. If prices continue higher than the new high reached today, this new bullish trend would be confirmed. I am also looking for a possible pull-back to the Exponential Moving Average before the new bull trend resumes. Wheat was also stronger, and even soybeans rebounded somewhat just in the closing moments of the trading session.Thursday, May 8, 2008
Corn Break-Out
Corn has not only achieved a new all-time closing high, but has also closed outside of the Bollinger Bands, and it represents a perfect Cahen T1 (see his book in my list at the right side of this blog). This daily chart shows the emergence of what may be a new trend for corn. This is a strongly bullish signal, and when combined with strong volume, as this shows on the Klinger Volume indicator, it has a very high probability of success. If prices continue higher than the new high reached today, this new bullish trend would be confirmed. I am also looking for a possible pull-back to the Exponential Moving Average before the new bull trend resumes. Wheat was also stronger, and even soybeans rebounded somewhat just in the closing moments of the trading session.
