If the price of wheat maintains its higher price throughout the day trading session today, the bottom I have been speaking of for the past few weeks will be firming. Wheat is now higher four days in a row, unless we get a strong reversal today. Note on this chart the very strong buying activity on the Klinger volume indicator in the lower panel, which is now crossing above the zero line. Prices are also now crossing above the 20 day moving average (yellow dotted line).Winter wheat crops are showing signs of being at risk, and emergence figures are well below average for the last half of May, suggesting that this year's crop could come up short. Australia is also beginning to show signs of more drought. This may also be bullish for prices.
