September KC Wheat Chart

Wheat looks to be trying to form some bottoming action, we believe that is going to continue but remain choppy in the short term.

We do believe that wheat prices globally are under valued and that this market as we move through the summer and into fall is likely to retest the $10 level at a bare minimum.

Even though wheat prices are not exploding, this is no place to be making sales.

September KC Wheat Chart

Wheat prices have pushed down to new lows as well.

Corn, beans, and wheat all making new lows today keeping the overall downtrend intact.

Russia invaded Ukraine on February 24th and we are significantly below the prices even prior to when Russia invaded Ukraine.

We also have a consolidation area that took place over about 4 months from 7.55-8.66 and we are now in that area.

Even though there is no sign of bottoming action this is no place to making sales in wheat.

September KC Wheat Chart

Wheat prices also extremely choppy, down sharp up sharp and so on.

Wheat also looks to be consolidating near the lower end of the range with chart support around $8.20-8.30, overhead resistance initially around 9.20 with further resistance around the $10 level.

We believe the marketplace and traders in general are waiting for further weather development to determine if the U.S. corn and bean cops will be getting bigger on favorable weather or shrinking smaller on threatening weather.

September KC Wheat Chart

Wheat prices also exploding to the upside, last Friday we did make a new low but keep in mind we closed at 8.37.

The close last Friday was above the spike low from the previous week giving us mixed signals.

Today’s big up move certainly hints the short-term trend could turn upward.

Overhead resistance at 9.50-10.00, keep in mind we reached 9.98 a week ago.