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Soybeanoil

Descending Triangle on Soybean Oil, Target at 3755Trend Analysis The main view of this trade idea is on the 4-Hour Chart. The commodity soybean oil (SOYUSD) is in a descending triangle setup pattern. The resistance line is seen with lower highs on 7200 and 6495 respectively. The support line is observed around 5450. A breakdown in support will take SOYUSD towards 3755. A negation of this pattern will be seen if the commodity breaks above the resistance trend line, above 6490. Soybean Oil is in a sell mode as it approaches support around 5450 on the longer termed Daily chart. Technical Indicators The technical indicators are bearish for SOYUSD. There has been negative crossovers on the short (50-MA), medium (100-MA) and long (200-MA) fractal moving averages. The RSI is trading below 50 and there has been a negative crossover on the KST as the commodity’s price approaches support. Recommendation The recommendation will be to go short at market, with a stop loss at 6490 and a target of 3755. This produces a risk/reward ratio of 1.68. Disclaimer The views expressed are mine and do not represent the views of my employers and business partners. Persons acting on these recommendations are doing so at their own risk. These recommendations are not a solicitation to buy or to sell but are for purely discussion purposes. At the time of publishing I have exposure to Soybean Oil.
FOREXCOM:SOYUSDShort
by Ceddy86
1
Soybean Oil Positioned to Move Higher to 6700 Trend Analysis The main view of this trade idea is on the 2-Hour Chart. Soybean Oil (SOYUSD) hit some resistance around the 6315 price level and declined towards 5845 where the commodity found support. SOYUSD is rallying to re test 6315 resistance. Expectations are for the commodity to breakout higher and target 6700. Failure of this move would occur if SOYUSD decline towards 5800. On a Daily Chart there has been a trend change from early September for the commodity to make a leg higher. Technical Indicators SOYUSD is trending higher with positive crossovers on the short (50-MA), medium (100-MA) and long (200-MA) fractal moving averages. The commodity is trading above the respective MAs. The RSI is above 50, indicating a bullish price move. This is corroborated by the KST in a positive mode. Recommendation The recommendation will be to go long at market, with a stop loss at 5800 and a target of 6700. This produces a risk/reward ratio of 1.66. Disclaimer The views expressed are mine and do not represent the views of my employers and business partners. Persons acting on these recommendations are doing so at their own risk. These recommendations are not a solicitation to buy or to sell but are for purely discussion purposes.
FOREXCOM:SOYUSDLong
by Ceddy86