Soybeans Have More To Go On The Upside, And What Changes That..

Soybeans

(ZSX23) (SOYB) 

The low on 10/12/23 held the 61.8% retracement from the 5/31/23 low and 7/24/23 high at 1250.00. Following the ONE44 61.8% rule we are looking for a move that will take it 61.8% the other way and this is 1365.00.

As you can see on the chart the high on 10/23/23 hit 38.2% back to the 7/24/23 high at 1320.00. It needed to make a new low on the setback from it to keep the current short term down move negative. It failed to do so after a 40 cent break and has now closed above 1320.00, this also tells us to look for 61.8% at 1365.00 for the next target.

A failure to stay above 1320.00 next week will give us a downside target of 78.6% back to the 10/12/23 low at 1267.50, this is also a major Gann square.

On an extended move higher, look for 78.6% back to the 7/24/23 high at 1394.75, this is also a major Gann square.

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Our goal is to not only give you actionable information, but to help you understand why we think this is happening based on pure price analysis with Fibonacci retracements, that we believe are the underlying structure of all markets and Gann squares.

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