Grain/Livestock Overview

(ZSH25) (ZCH25) (ZWH25) (LEG25) (HEG25) (GFH25) 

OVERVIEW

Corn is in the strongest position after failing to make a new low at a 78.6% retracement on 10/17/24 and then last week held a 38.2% retracement on 12/19/24. It has now taken out the long term retracements at 443.00.

Wheat remains in the weakest position, but holding above the 527.50 major Gann square, we continue to look for the first sign of a trend change based on the retracements.

Soybeans are getting close to the first test to see if they can turn the short term trend positive.

Live Cattle held above 38.2% this week and this can send it back to a new high, but as always we will watch the 78.6% retracement on any failure to make a new high. (ONE44 78.6% rule).

Lean Hogs held above the 83.52 major Gann square and swing point for the week, above it the short term target is still 78.6% back to the high.

The chart below is key to this analysis.

There are two methods we use at ONE44 to find support and resistance in the markets.

The first are major Gann squares, these are the yellow horizontal lines on the chart. On the chart you can see where the market turned multiple times at these levels.

The second is Fibonacci retracements and this is what most of this post will be about.

There are a few basic rules when using the Fibonacci retracements with the ONE44 rules and guidelines.

This is the short version.

A 38.2% level keeps the trend intact and new highs/lows should follow.

A 23.6% level shows the market is extremely strong, or weak.

A 61.8% level can cause wide swings and keep the market in a trading range.

A 78.6% level can send it 78.6% of where it just came from and even be the end or start of a Bull market.

We have done 43 videos on how to use the Fibonacci retracements with the ONE44 rules and guidelines. These Videos are worth watching even if it is not in the market you are trading, as the ONE44 rules and guidelines are the same for every market. You will also see why we believe the Fibonacci retracements are the underlying structure of ALL markets.

This is the latest.

You can get the Full Grain/Livestock Update HERE.

ONE44 Analytics where the analysis is concise and to the point

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.

If you like this type of analysis and trade the Grain/Livestock futures you can become a Premium Member.

You can also follow us on YouTube for more examples of how to use the Fibonacci retracements with the ONE44 rules and guidelines.

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