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Wheat CME: Short-Term Recovery On The Way?

Published 07/15/2014, 02:33 AM
Updated 07/09/2023, 06:31 AM
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Wheat CME Weekly Chart

US Wheat managed a recovery and beat resistance at 558/559 to halt at the next resistance at 562/563. Prices topped exactly here but yesterday's price action gives some hope for a short term recovery this week. However we must of course beat resistance at 562/563 to target 568/569 and then Friday's high at 571/572. Unlikely we will beat this resistance today so we can use this as a selling opportunity. Bear in mind only a daily close above here this week would be an initial sign of buyers returning.

If prices fall back below 560 this keeps the market under pressure risking a move towards 554/552. If we continue lower today a retest of the 2 day lows at 548/546 is not out of the question. Clearly this is very important support and a break lower would negate yesterday's more positive candle formation and keeps the market under pressure this week.

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