Technical Analyst, Saxo Bank
Wheat is breaking bullish out of its short term corrective falling channel. Minor resistance at $1,167 and 1,213.No divergence on RSI indicates bullish trend to resume. If RSI closes above 60 which is likely Bull trend is confirmed.
Corn trading above its short term falling trend line breaking bullish out of Descending like triangle pattern. RSI above 60 confirms Bullish trend has resumed and March peak at around 782.75 likely to be tested and broken.
Soybeans jumped back above medium trend line after finding strong support at $1,579If breaking above short term falling trend line new highs are likely. RSI breaking above falling trend line could be first indication of that scenario to play out.
Coffee confirming uptrend. Back above 100 and 55 SMA’s. RSI above 60 confirm Bullish trend. Some resistance at $241. If a Daily close below 224 Coffee will go back to neutral.
Cotton likely to test March peak at around $141.80. RSI above 60 threshold i.e. short term falling trend line very likely to be broken.
If taking out March peak no strong resistance before around 160-168 level. A Daily close below 131 will reverse the uptrend
2024: The wasted year
Markets are driven by election optimism, overshadowing growing debt and liquidity concerns. The 2024 elections loom large, but economic fundamentals and debt issues warrant cautious investment.
As US economic slowdown hints at a shift away from exceptionalism, USD faces downside with looming Fed cuts. AUD and NZD set to outperform as their rate cuts lag. JPY gains on carry unwind bets and BOJ pivot.
Amid AI and obesity drug excitement, equities see varied prospects: neutral on overvalued US stocks, negative on Japan due to JPY risks, positive on Europe. European defence stocks gain appeal.
With the economic slowdown, quality assets will gain favour, especially sovereign bonds up to 5 years. Central banks' potential rate cuts in Q2 suggest extending duration, despite policy and inflation concerns.
Commodities poised for rebound. The "Year of the Metal" boosts gold and silver, copper awaits rate cuts. Grains may recover, natural gas stabilises. Gold targets $2,300-$2,500/oz, copper's breakout could signal growth.
Markets are driven by election optimism, overshadowing growing debt and liquidity concerns. The 2024 elections loom large, but economic fundamentals and debt issues warrant cautious investment.
As US economic slowdown hints at a shift away from exceptionalism, USD faces downside with looming Fed cuts. AUD and NZD set to outperform as their rate cuts lag. JPY gains on carry unwind bets and BOJ pivot.
Amid AI and obesity drug excitement, equities see varied prospects: neutral on overvalued US stocks, negative on Japan due to JPY risks, positive on Europe. European defence stocks gain appeal.
With the economic slowdown, quality assets will gain favour, especially sovereign bonds up to 5 years. Central banks' potential rate cuts in Q2 suggest extending duration, despite policy and inflation concerns.
Commodities poised for rebound. The "Year of the Metal" boosts gold and silver, copper awaits rate cuts. Grains may recover, natural gas stabilises. Gold targets $2,300-$2,500/oz, copper's breakout could signal growth.