Corn: After a 46% Decline in Two Years, Breakout Attempt Is in Play
06/29/2015 6:00 am EST
Though it has been a tough time for Corn over the past two years, Chris Kimble, of Kimble Charting Solutions, takes to the charts to show how corn futures look to be working on a breakout of a 2-year falling channel while corn now looks to be testing the top of a pennant pattern.
The chart above looks at Corn over the past 30-years and applies a 2-year rate of change to it. Over the past two years, Corn is down around 45%, been a rough go of it for sure. Could that lead to future opportunities?
Below looks at the best performing assets over the past week (calculated at 8:30AM Central last Friday morning).
If you like the idea of buying low and selling higher, one might want to look at the chart below.
At this time, Corn futures look to be working on a breakout of a 2-year falling channel, which is a positive for them. Corn now looks to be testing the top of a pennant pattern at this time. Should it break above this level, it could attract more buyers.
A large unfilled weekly gap remains just above the $6 level. If Corn would fill this gap, some big gains would take place.
By Chris Kimble, Founder, Kimble Charting Solutions