Technical Analysis #C-CORN : 2020-05-06

IFC Markets

Master Trader
Oct 31, 2012
London (Great Britain)
Recommendation for Corn : Neutral
Buy Stop : Above 321.7
Stop Loss : Below 308.9

Donchian ChannelNeutral
Parabolic SARSell
Chart Analysis
IFC Markets Tech Analysis

On the daily timeframe #C-CORN: D1 is consolidating below the 100-day moving average MA(100), which is falling itself. The RSI indicator has formed a bullish divergence. We believe the bullish momentum will continue as the price breaches above the upper Donchian boundary. A pending order to buy can be placed above last fractal high level 321.7. The stop loss can be placed below 308.9. After placing the order, the stop loss is to be moved every day to the next fractal low, following Parabolic signals. Thus, we are changing the expected profit/loss ratio to the breakeven point. If the price meets the stop loss level without reaching the order, we recommend cancelling the order: the market has undergone internal changes which were not taken into account.

Fundamental Analysis

Cold air front is moving to US Corn Belt area. Will the CORN price continue recovering?