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Soybeans CBT Futures (S) - Turning Back UP »» Weekly Summary Analysis
By: Marty Armstrong | October 10, 2020

Oct. 9, 2020: Soybeans CBT Futures closed above our indicating ranges on the Daily level. It closed today at 10654 and is trading up about 11% for the year from last year's settlement of 9554. Up to now, this market has been rising for 5 months going into October suggesting that this has been a bull market trend on the monthly time level. As we stand right now, this market has made a new high exceeding the previous month's high reaching thus far 10796 while it has not broken last mont's low so far of 9426. Nevertheless, this market is still trading above last month's high of 10466.

While the historical perspective of the of this market included a decline from the major high established back in 2012 moving into a major low in 2019, the market has bounced back for the last year. The last Yearly Reversal to be elected was a Bearish at the close of 2016.

This market remains in a positive position on the weekly to yearly levels of our indicating models.

Solely focusing on only the indicating ranges on the Daily level in the Soybeans CBT Futures, this market remains in a bullish position at this time with the underlying support beginning at 10536.

On the weekly level, the last important high was established the week of October 5th at 10796, which was up 24 weeks from the low made back during the week of April 20th. So far, this week is trading within last week's range of 10796 to 10160. Nevertheless, the market is still trading upward more toward resistance than support. A closing beneath last week's low would be a technical signal for a correction to retest support.

The broader perspective, this current rally into the week of October 5th reaching 10796 has exceeded the previous high of 10466 made back during the week of September 14th. Right now, the market is above momentum on our weekly models hinting this is still bullish for now as well as trend, long-term trend, and cyclical strength. Looking at this from a wider perspective, this market has been trading up for the past 8 weeks overall.

Interestingly, the Soybeans CBT Futures has been in a bullish phase for the past 16 months since the low established back in May 2019.

Critical support still underlies this market at 8413 and a break of that level on a monthly closing basis would warn that a sustainable decline ahead becomes possible. Nevertheless, the market is trading above last month's high showing some strength.

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