"Nobody is qualified to become a statesman who is entirely ignorant of the problem of wheat." - Socrates
And what a problem this can turn out to be! Wheat and other agriculture commodities have been hammered lately, leading many talking heads to say "Inflation has peaked". For the short term, they are probably right. However, what they are not considering is wheat had a 10+year basing formation which it broke out of and likely has started a multi year bull market. This little correction we've had looks like it's close to being done. Like Natural Gas, Agricultural commodities may start taking off again very soon.
We are at support with Weekly hidden bull divergences. It's possible this goes slightly lower, but collecting here slowly is for me, an ideal area to buy.
If the long term chart of Wheat is a cup and handle, we could see a tripling of prices over the next few years.
For those who don't trade futures, General ag commodities ETF is DBA, Wheat ETF is WEAT. The charts are very similar.
And what a problem this can turn out to be! Wheat and other agriculture commodities have been hammered lately, leading many talking heads to say "Inflation has peaked". For the short term, they are probably right. However, what they are not considering is wheat had a 10+year basing formation which it broke out of and likely has started a multi year bull market. This little correction we've had looks like it's close to being done. Like Natural Gas, Agricultural commodities may start taking off again very soon.
We are at support with Weekly hidden bull divergences. It's possible this goes slightly lower, but collecting here slowly is for me, an ideal area to buy.
If the long term chart of Wheat is a cup and handle, we could see a tripling of prices over the next few years.
For those who don't trade futures, General ag commodities ETF is DBA, Wheat ETF is WEAT. The charts are very similar.
Comment:
Wheat could come down to 650's - 1.618 of A is common extension for C
