Sunday, June 5, 2011

Decision Time For Corn (DBA; DBC; CORN)

The Missouri River flooding, especially the stretch from South Dakota to along the Nebraska/Iowa border could be enough to spook the speculators to the upside.
Otherwise the 'huge double top' rules. (click the charts to enlarge)
Lifted in toto from Alpha Global Investors:

Huge move in the corn market ?

A reader asked me to look at the corn market ; By looking at both charts (daily & weekly) I now understand why he asked me ....
Corn is ready for a major move !
The big picture (weekly) suggests that a break out (above that long double top) could send corn prices zooming up fast !
Short term picture (daily) reflects an overbought condition