Soybeans' overall trend, revealed by trends of price, leverage, and time, are defined and discussed in The Matrix for subscribers.
Are we bearish on soybeans? No. Soybeans remain in consolidation. The weekly LTCO is down to 9%. If price holds at current levels, it will be down to 6% next week, and 2% the week after that. What's happening? The weekly trend is experiencing compression. Volatility cycles just like price and time. Volatility is dropping as the bulls and bears lose interest. This happens in every market tracked by the Matrix.
Beans primary trend must stay up. It, too, is losing altitude. The monthly LTCO is 20%.
The composite trend is breathing, while the energy is building. DI and DI2 are 78% and 53%, respectively. DI2 = 53% is a high number! It will be released to the downside eventually. The odds favor a rally when it happens.
There's no guarantee that the weekly trend will reset, or the weekly and monthly trends will stay up. If the composite trend Reset (R), meaning daily, weekly, and monthly trends all return to triple up, the large bullish energy build could have it's to trigger to release the energy build. Price will move, and it won't care if friend or foe is playing. Frankly, many within the majority will never understand this logic, because they have it all figured out.
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