According to the previous technical analysis, we can give the forecast that the market of this week won’t change that much. Then I choose to set my positions up and not to move a lot in this week.
And the reality just showed my predict was right. The market fluctuate a little bit and the price didn’t change that much.
For Soybean, from MACD chart we can obviously see that the price must keep decrease in the previous week. However, it makes the short positions becoming more dangerous in the coming week.
Price has already reached 1161 by the end of today. Even there’s several “experts” believe that soybean price may keep decrease until 1,000. I probably gonna watch it tightly and prepare to offset my short position when MACD reach the balance.
For Corn, It’s really strange that J line fluctuated around K line for such a long time in KDJ chart. Also, there’s no any indication about the huge price-dropping which happened on Thursday. It makes me have to re-design my strategy from the beginning. And the new MACD from Thursday shows that a new dropping turn around.
For Wheat, I am such a stubborn girl who believed that the price of wheat will somehow back again without any suspicion!!! Even most of my classmates warn me about the wheat price probably will never up to its original price, also Andrew said the impact of US dollar currency upward, which causing by Euro Crisis is much larger than the others’.
Anyhow, right now I believe wheat board will meet its another round of collapse. Since the MACD and KDJ chart shows a new decrease period, especially when I saw the purple J line strongly go through the white K line. I didn’t expect to this “double decrease” which rarely happened in my previous experience, and obviously I was wrong.
For now, I finally decide to offset all my long contracts in wheat on next Monday, if there’s no any other news about wheat distract my determination.
Margin Calculation:
Hi, LIXI! It seems you are pretty a expert of the technical analysis stuff haha! Especially when you introduced the KDJ indicator to me, I felt you were kinda professional haha!
Actually I agreed with your point that soybean’s price had reached a pretty low level, but there is some news of soybean that might lower the prices further. And we still don’t know how the new policy against the crisis would affect the markets.
[sign]…just be more conservative, and don’t risk much! Thanks for sharing! Seems you play very conservatively from your balance sheet! Nice!haha~hope you have a nice weekend!
yeah… the trend changed a little bit these days. Even I am still pretty sure it must go up in next week, but cannot make sure when will it be. I probably gonna hold it for another few days.
Talking about the policy, I didn’t get any news which support it will keep decreasing… Where can I get them?
haha lixi, Thank you for sharing your thought!! By the way, I really like your analysis about MACD and KDJ chart, and it really gives me more ideas!! Thank you so much!
Good night and Happy thanksgiving day!
zoe
Haha, Technical Analysis helped me a lot in the previous days. I gradually remember a lot of technique strategy when I was trading in Chinese Future market. But still, Technical analysis is not all our course about, I am trying to improve my other parts. Need you guys’ help!
Haha, love the software! I am thinking abt to install one as well. I think you are getting more and more professional girl. I should learn from you. Nice blog!
Hey Lixi, Very useful and brief. I really like brief blogs.
I used technical indicator this week like you. I think it works and give us an overall view of the trends, although sometimes the prices had an inverse trends.
Good luck