The Beans remain extremely positive as long as they stay above thelong term swing point at 1020.00, this area has a major Gann square and is 23.6% of the current rally.The target is still1170.00, this is 38.2% back to the all-time high and a major Gann square. We continue to believe that this will be a multi year rally and1170.00will be the first major test of just how strong this market is. A reaction from this level could last for a few months and retrace as much as38.2%of the rally.Currently 38.2% of the rally is 972.00 which is also a major Gann square and it is this level that would have to be taken out to turn the trend negative.
ZSF21 Chart is below
The Corn has had a very impressive rally after they took out thelong term swing point of 360.00and held it on a retest of it on 9/28/20. It already has hit the first of our two targets, the first was themajor Gann square at 405.00 and the second is the long term target at 430.00. Like the Beans the long term target will be the first major test of just how strong this market is. Provided this level is taken out we will then be looking for much higher prices. We will have more on that when and if it happens. For now you can use392.00 as the swing point, but it would have to take out 38.2% of the rally at 375.00 to turn the trend negative.
ZCZ20 chart is here, https://www.one44analytics.com/corn-2/
Wheat has taken out the long term swing point of 590.00, this area was a major Gann square, 23.6% back to the 2008 high and 38.2% back to the 2012 high.The market had two major setbacks from this area, once in August of 2018 and again in January of 2020. They retested it on 10/13/20 and are now on the way to ourlong term target of 730.00,this is 38.2% back to the 2008 high.Like the Beans and Corn, this will be the level that tells us if much higher prices are to come. Continue to use the590.00 as the swing point, but it will have to take out 38.2% back to the 2019 low to turn the trend negative, this level is 553.00.
ZWZ20 Chart is here, https://www.one44analytics.com/wheat-2/
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To get a greater understanding of the Fibonacci retracements, take a look at our Youtube video on the Intro to Fibonacci retracements, or go tohttp://www.one44analytics.comfor all the rules/guidelines and examples of them.
The video can be found here,