SOYBEAN: 21.12.2016 H4 chart.
Short term uptrend and correction to 38,2 Fibonacci.
Price above diagonal and horizontal supports.
Price action: "Hammer" and price above the top - probable increase in price.
Technical indicators:
Price above 200SMA - uptrend remains
CCI(14) crosses -100 from below - probable upward impulse
RSI(14) reverses upward above 30, as crossing above 50 will confirm the buy signal
Fundamentals: The ‘stunning’ demand for soybean from China will support the price. Also weather uncertainties in Argentina and Brazil, which are the two major producers of the commodity will have negative impact over supply which will support price increases.
SL 1010.00
Alternative scenario: Break below levels 1010 - 1000 will activate Multiple Top formation and will make downward movement more probable.
Jr. Trader Nikolay Georgiev
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