Wheat Commodity Elliott Wave Technical Analysis

Since its peak in March 2022, wheat prices have undergone a significant decline, dropping nearly 61% from over 1360 to approximately 540. This notable decrease reflects a prolonged bearish cycle that has lasted for over 28 months. However, according to Elliott Wave analysis, this bearish phase appears to be nearing its end, indicating a potential start of a multi-month bullish phase. This expected upward movement could serve as a corrective phase, counteracting the extended period of selling pressure.

Wheat Elliott Wave Technical Analysis

Wheat Commodity Daily Chart Analysis

The daily chart reveals that the downtrend from the March 2022 high of 1364 has followed a well-defined impulse wave structure. This structure is now in its final stage, with the fifth wave approaching completion. The fifth wave, which began in May 2024, is currently forming what appears to be an ending diagonal pattern—a common pattern in the final stages of an impulse wave. The development of this diagonal suggests that the decline is losing momentum, and a reversal could be imminent. However, it's essential to consider that Wave (5) might still evolve into a three-swing structure before fully completing. This implies that while wheat prices could dip further, potentially reaching the 500 level or slightly below, the ongoing rebound could see prices rise to the 560-590 range before the sell-off resumes. This price action would align with the typical behavior of an ending diagonal, where a final push lower is often followed by a significant corrective rally.

Wheat-Commodity-1D-C...


Wheat Commodity H4 Chart Analysis

The H4 chart provides a closer look at the sub-waves within Wave (5) of the diagonal structure observed in Wave 5 (circled) on the daily chart. This wave is expected to complete a corrective three-wave structure. The initial sub-wave, Wave A, appears to have completed a bearish impulse move from the peak in May 2024. Following this, the current bounce from the July 2024 low is identified as Wave B, which seems to be forming a corrective pattern. Early indications suggest that Wave B is developing into a double zigzag pattern, a complex correction often seen in Elliott Wave analysis. As long as the low from August 27th remains intact, Wave B could extend higher, potentially offering a short-term rally before the broader downtrend continues. This scenario highlights the importance of monitoring key support levels, as a breach of the August 27th low could invalidate the current corrective pattern and suggest further downside risk.

Technical Analyst: Sanmi Adeagbo

Source: visit Tradinglounge.com and learn From the Experts Join TradingLounge Here 

See Previous: Copper Elliott Wave Technical Analysis 

Special Trial Offer - 0.76 Cents a Day for 3 Months! Click here

Access 7 Analysts Over 200 Markets Covered. Chat Room With Support

Wheat-Commodity-4h-C...


Summary

While the long-term downtrend in wheat may still have room to continue, the market is showing signs of nearing a significant bottom, with the potential for a multi-month bullish correction on the horizon.

Related

Learn about BXB Stock Trends, and What to Expect in Upcoming Sessions: Brambles Limited Elliott Wave Technical Forecast

Learn about BXB Stock Trends, and What to Expect in Upcoming Sessions: Brambles Limited Elliott Wave Technical Forecast

Our detailed Elliott Wave analysis on Brambles Limited (BXB) provides traders with key insights into...

Read More >
Costco Wholesale Corp. (COST) Elliott Wave Technical Analysis: Stay Updated on Stock Trends and Make Informed Trading Decisions

Costco Wholesale Corp. (COST) Elliott Wave Technical Analysis: Stay Updated on Stock Trends and Make Informed Trading Decisions

This analysis provides a detailed Elliott Wave review of Costco Wholesale Corp. (COST), covering the...

Read More >
Information on Commodity Market Dynamics and Price Forecasts: Coffee Elliott Wave Technical Analysis

Information on Commodity Market Dynamics and Price Forecasts: Coffee Elliott Wave Technical Analysis

This article provides a comprehensive Elliott Wave Analysis of Coffee commodities. It covers technic...

Read More >
Bitcoin Crypto Price News Elliott Wave Technical Analysis: BTCUSD Forecasting Potential Uptrends, and Trading Strategies

Bitcoin Crypto Price News Elliott Wave Technical Analysis: BTCUSD Forecasting Potential Uptrends, and Trading Strategies

This article provides a comprehensive BTCUSD Elliott Wave analysis, Highlighting Bitcoin's curre...

Read More >
WTI Crude Oil Commodity Elliott Wave Technical Analysis: Crude Oil is Experiencing a Recovery

WTI Crude Oil Commodity Elliott Wave Technical Analysis: Crude Oil is Experiencing a Recovery

In this analysis, we provide a detailed Elliott Wave forecast for WTI and crude oil prices in June 2...

Read More >
Caterpillar Inc. (CAT) Stocks Elliott Wave Technical Analysis With Insights into Both Upward and Sideways Trends

Caterpillar Inc. (CAT) Stocks Elliott Wave Technical Analysis With Insights into Both Upward and Sideways Trends

This detailed Elliott Wave analysis examines Caterpillar Inc. (CAT) stock trends on daily and 1-hour...

Read More >

Buy 1 Month

Get 3 Months!

Special Offer:

Trade Recommendations

Unleash the power of deversified trading with our comprehensive portfolio, covering:

  • Stock Trades
  • Crypto Trades
  • Forex Trades
  • Commodity Trades
Elliott Wave Analysis

Gain a competive edge with expert insights in to:

  • Global Indices
  • US Stocks & ASX Stocks
  • Forex & Crypto
  • Commodities
Top-Notch Trading Tools

Equip yourself with the tools of success:

  • Social Chat
  • Elliott Wave Algorithm
  • Screener
  • TradingLevels
  • Trading Game
7 Elliott Wave Analysts

Stay ahead of the market with daily charts and insightful videos
-Your secret to strategic trading!

JOIN HERE


Welcome to TradingLounge (ASIC A.R.No. 321187), specialists in trades, trading education and technical analysis, covering stocks, indices, commodities, forex and cryptocurrencies.

When you join TradingLounge you have access to everything we offer, including trade tools, educational content and a social platform to chat with like-minded investors.

Read more

@Copyright 2024 by tradinglounge.com

Contact Us

Australian no: 02 4787 6020

International no: +61 (2) 47876020

Pay with:

Find us on