After The Fact
The reason for the move is revealed after the fact.
Now that corn futures (CORN as proxy) have moved below their mid-May lows, contrary to the reality of massive crop losses, the reason for the move is revealed.
CORN: Reversal in progress
Biotech IBB, Pre-Market Shows Higher Open
Oscillating around support and resistance is normal market behavior.
For Biotech IBB, we’re at the juncture between spring and gap-fill higher and/or contact and verification of an aggressive -91%, annualized trend-line.
The early session spike lower, took out any stops below support. Price action recovered immediately.
CORN: Proxy for Panic
The corn futures report at this link, shows current progress is lagging behind last year. At this point, 11% of the crop is mature vs. 24%, on average. That’s down over 54% from last year.
In addition, Ice Age Farmer just released this report, indicating northern growing areas no longer have enough (and won’t get enough) ‘heat’ to mature the crops … it’s going to be a huge loss.
GDX Nearing The Top
It’s been over a month since the last update on GDX.
Price action is following the plan with the move nearing its upside limit at established resistance.
Another good indicator we’re at or near the top of the current move, is the Wall St. Journal.
We’re up about 7% form the ‘spring’ lows identified on August 22nd.
Important to note: Area for reversal identified in advance; including approx. distance of travel (blue oval).
Pre-market at 8:52 a.m EST
It’s the pre-market session and the bid/ask on IYR indicates a higher open.
Three Ten Trading, LLC is structured as a long-short fund implementing proprietary trading strategies. As such, we are not registered by the SEC, do not provide investment advice and do not engage in paid solicitation or advertising.
This site is for purpose of demonstrating the truth of market behavior; outlined by a market master: Richard D. Wyckoff in his text, Studies In Tape Reading, published 1910.
Charts produced by TC2000 which is a registered trademark of Worden Brothers, Inc., P.O. Box 1139 Wilmington, NC 28402.
Ph 800-776-4940 or 919-408-0542. www.Worden.com