Those that view the message of the market on daily basis are likely confused by trading noise. While trading noise contributes to the long-term trends, it does not define them. Human behavior tries to explain trading noise as a meaningful trend. This confuses the majority which, in turn, contributes to their role as bagholders of trend transitions.
Soybeans' overall trend, revealed by trends of price, leverage, and time, are defined and discussed in The Matrix for subscribers.
Your soybeans video was fantastic, we are starting to see signs of the cash market for soybeans get tired. Basis levels and crush margins are falling,( a sign that the board is overheating versus the cash market).
Looking at years with similarly tight balance sheets, there is always a correction of some sort before the final run higher in the summer.
Thanks for the great work.
That’s an interest observation from the Ag community against the message of the invisible hand. The energy build of the grain complex is an important piece of information to add to the latest Soybeans Review (below).
The composite Grains DI, however, is falling fast. Price can rally against the red blocking domes, but it requires additional speculation. Speculation surges have happened in the past, but they're low probability events. Fresh money needs to understand the nature of the trend. Evolution of the Trade demands patience until a RESET materializes.
Composite Grains DI
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