Kansas City Wheat Revisited

I am Stephen Davis, senior market strategist at Walsh Trading, Inc., Chicago, Illinois. You can reach me at 312-878-2391.

Last week I wrote about the gap higher in the Kansas City wheat (Hard Red Winter Wheat) chart pattern. I predicted it would continue to go higher and looking at the chart below, that's what happened.

Kansas City wheat prices are now close to the 24-month high. 

Factors remain the same. Global wheat yields are expected to be impacted by costs and fertilizer supply deficits. The weather is the wild card. In the United States, more will be revealed as the harvest of hard red winter wheat in Kansas begins in early- to mid-June. 

A trade strategy is to buy July 2026 Hard Red Winter Wheat at 673.0, good til cancelled (GTC). Today's low was 672.4. Use the stop at 663.0 stop, GTC. This is a $500 risk per contract. Profit objective is 703.0 or $1,500 per contract. 

To discuss trading strategies, contact me anytime. Have an excellent day. 

Stephen Davis
Senior Market Strategist 
Walsh Trading

Direct 312 878 2391 
Toll Free 800 556 9411
sdavis@walshtrading.com  
www.walshtrading.com

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