Hard Red Spring Wheat wants to break out

Hard Red Spring Wheat   is finally waking up from a multi-year slumber!

Analyzing the Weekly timeframe, we are seeing a massive structural shift in Hard Red Spring Wheat ($MWK26) as it breaks out of a long-term downtrend.After bottoming at $5.44, price has officially cleared the 23.6% Fibonacci level ($6.57) and successfully flipped the 50-week SMA into support.

The multi-year descending trendline (dotted) has been shattered, signalling that the bears are losing their grip. 

We are now eyeing a liquidity run toward the 200-week SMA.

Key levels to watch:

Target: $7.13 (200 SMA) / $7.27 (38.2% Fib)

Resistance: $6.85 - $7.00

Support: $6.57 (23.6% Retracement)

 Invalidation: Weekly close back below $5.93 (50 SMA)The agriculture sector is starting to look juicy again. 

Are you long $MW_F here or waiting for a backtest of the breakout? Chart for educational purposes. NFA

I cover this technical setup and specific price targets in depth in the Klarenbach Grain Report. 

Join 3,500+ farmers getting sell signals and technical roadmaps here:

Trent Klarenbach, BSA AgEc, PAg, publishes the Klarenbach Grain Report and the Klarenbach Special Crops Report.  

Klarenbach Research

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