Near Term Trend: Negative
Friday’s Close: 390’0 (- 2 1/2 cents)
UPDATE: We were long from 407’0, and in our last report asked those investors to raise the stop to 416’0 close only.
It’s a good thing we conservatively raised the stop as the price of corn hit a vacuum and dropped 52 cents from the highs. However, the day we were stopped out Corn fell 28 cents and settled at 402’0.
Therefore we actually took a loss of 5 cents – minor loos at that, but enough of an annoyance after enjoying a large profit.
At this juncture, the market is oversold but to scalp a trade on the long side for a bounce is risky.