Since its peak in March 2022, Wheat prices have dropped nearly 62%, falling from over 1360 to around 530. However, this bearish cycle appears to be nearing its end, and a multi-month bullish phase may soon begin, correcting the over 28 months of sell-off.Daily Chart AnalysisOn the daily chart, the decline from the March 2022 peak of 1364 has been unfolding as an impulse wave structure. This structure is now in its final stage, with the 5th wave close to completing an ending diagonal pattern. Although Wheat prices could still drop to 500 or slightly below, sellers should be cautious at this juncture. The coming weeks and months are likely to see short positions being exited, making way for new bullish positions.
H4 Chart AnalysisThe H4 chart shows that wave c of (5) of 5 (circled) is about to complete, likely forming an ending diagonal structure. The 500 level is expected to provide strong support, leading to at least a 3-swing bounce that could push prices above 800.
SummaryIn summary, the Elliott Wave analysis for Wheat suggests that the current bearish cycle is nearly complete, and a significant bullish correction is likely to follow. Key levels to watch include the support at 500 and the potential bounce to above 800. Traders should be prepared for the end of the current decline and look for opportunities to enter long positions as the market transitions into a new bullish phase. By monitoring wave structures and critical price levels, traders can anticipate future movements in the Wheat market and make informed decisions to capitalize on the impending uptrend.Technical Analyst : Sanmi AdeagboMore By This Author:Unlocking ASX Trading Success: Brambles Limited – Tuesday, July 30
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