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How do you make sense of all the news in the marketplace?<\/strong><\/p>\n – Google for answers? When I started farming, I couldn\u2019t make sense of all the news (noise). One article would After taking courses on how to market grain, I learned that on any given day there are I found that charting and technical analysis was the answer. Technical analysts believe Therefore, the news is always bullish at the height of a rally and bearish at the<\/em><\/strong> It\u2019s quite simple.<\/strong><\/p>\n It\u2019s time to sell when 1) the market rallies into resistance, 2) is technically<\/strong> In the accompanying chart, futures rallied into resistance at US$7.67, was technically What would an extra $1.50 per bushel for wheat do for your farm\u2019s bottom line?<\/strong><\/p>\n A 50 bushel per acre crop would gross an extra $75.00\/acre. On 5,000 acres, that<\/strong> Clients tell us they make their investment in our program back in one recommendation. Regardless of how we do it, we have an excellent track record that is second to none.
\n– Subscribe to a newsletter service?
\n– Ask your grain buyer what they think?
\n– Read the newspaper?
\n– Talk to your neighbours?
\n– Check out what farmers are saying on Twitter?
\n– Rely on a reputable grain marketing advisory firm?<\/p>\n
\nsuggest grain prices should go up, and another would be reason for the market to go
\ndown. Who was right?<\/p>\n
\nseveral reasons why a market could go down, and just as many reasons for it to go up.
\nHow do you decipher all this information?<\/p>\n
\nwholeheartedly that the price action brings out the news. If the market is up at the end
\nof the day, bullish news substantiates the reason for prices being higher. If the market
\nsettles lower, the bearish news is referenced.<\/p>\n
\nbottom. This causes farmers to believe the market will continue to move higher at<\/em><\/strong>
\nthe top and lower at the bottom.<\/strong><\/em>After watching the price action on charts and
\nstudying technical analysis for the past 40 years, I found that charting and technical
\nanalysis is the only way to cut through the news and identify market highs and lows.<\/p>\n
\noverbought, and 3) a reversal pattern appears.<\/strong> By following this discipline, our clients
\ntell us we are 85% accurate in alerting them to sell at or near a market high. 15% of the
\ntime, a market may push through resistance and continue to rally. This is still a good
\nthing, as farmers like to sell grain when the price is higher and avoid selling at the low.
\nFor illustrative purposes, let\u2019s look at the July 2024 MGEX spring wheat futures chart,
\nwhich had a spring rally in 2024, before turning down.<\/p>\n![\"\"](\"https:\/\/welcome.combyne.ag\/resource-centre\/wp-content\/uploads\/2024\/07\/Screenshot-2024-07-04-at-8.40.21\u202fAM.png\")
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\noverbought, and developed a reversal pattern called an oops. We acted by alerting our
\nclients to sell at the market high on May 28, 2024. Since then, futures have been down
\n18 of the past 19 business days.<\/p>\n
\nwould be an extra $375,000.00 in gross revenue.<\/strong><\/p>\n
\nOver 40 years experience in watching the charts has enhanced my ability to know when
\nto pull the trigger and when not to pull the trigger. Some call it a sense, instinct or
\nintuition.<\/p>\n
\nThe more I focus on the charts and the less I look at the news, the better I am in
\nidentifying market trends, market highs, and lows.<\/p>\n