cbot soybeans weekly
Between these two lines we have coloured a red triangle which is representing a strong resistance to price and which is found between, roughly, 1060 and 1085 during the coming week and of which the values gradually decline.
The supportive forces on the chart are found in a (displayed bold and in dash) that starts at around 855 during late February 2016 and leads up via the 935 level during September/October 2016. There is a shorter supportive that starts at 935 in September 2016 and goes up via 990 during January 2017 and 1015 during last week.
Between these two supportive lines we have coloured a green triangle which is representing a strong support to price and which is found between, roughly, 1000 and 1020 during the coming week. Hence, price currently finds itself between the proverbial ‘rock and a hard place’ and has to break either the, roughly 1070 resistance and the, roughly, 1015 support. We expect price to bounce a bit further between the two during the coming 1 to 2 weeks after which the pressure will have become too high which will result in a volatile outbreak either way.
Taking the as well as the EW counting (not displayed) into account we have a slight preference for a solid move to the upside from here although we will need to wait for a confirmation from price after it broke through its resistance convincingly.