Corn is preparing to make its next directional move after traversing the same price territory for the last two months. So what’s the next move and when will it start? Read more…
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The high-volume area support zone established over the month of September at 337’6 – 348’2 was tested and held in early October following the rally to begin the month.
Corn continued higher in October until reaching the high-volume area resistance that was established over the month of July at 362’4 – 370’6. After two tests in October and a third in early November, corn pulled back to retest the HVA support at 337’6 – 348’2.
Corn regathered itself, again holding its September HVA support zone and has now returned to again test new HVA resistance at 361 – 366 within the original 362’4 – 370’6 zone.
A move above 370’6, which is the top of the HVA resistance zone that has held the market back since the first test in October, would establish a bullish bias and target a swift move to the upside targeting 387’4 initially with a higher target at 401’4.
Only a decline below 337’6 would tip the advantage to favor the bears and lower prices.
