Good evening, Traders!
After a difficult week in Wheat (ZW), my attention is attracted to Corn (ZC).
We have the ultimate bearish sentiment here. Just look at the imbalance in the volume of put options, which is twice as much as in calls. On Tuesday we got big trades in options block trades, Bid imbalance of order flow and so rejection. But on Friday the pressure of sellers continued to increase and we closed before the the last frontier.
As you remember, bid HFTs’ on the level of support means that with a high probability, it will be broken, as smart money and market makers more often sell in levels of support, than buy from them as we used to.
I assume that we will reach the 467,75 price level and touch all the liquidity that is concentrated under the demand zone. And I put my alert there. (Watch)
After a difficult week in Wheat (ZW), my attention is attracted to Corn (ZC).
We have the ultimate bearish sentiment here. Just look at the imbalance in the volume of put options, which is twice as much as in calls. On Tuesday we got big trades in options block trades, Bid imbalance of order flow and so rejection. But on Friday the pressure of sellers continued to increase and we closed before the the last frontier.
As you remember, bid HFTs’ on the level of support means that with a high probability, it will be broken, as smart money and market makers more often sell in levels of support, than buy from them as we used to.
I assume that we will reach the 467,75 price level and touch all the liquidity that is concentrated under the demand zone. And I put my alert there. (Watch)
And only then the price will go to the upside, as hedgers are very active in buying wheat from trend-following hedge funds for such a cheap opportunity.
I am sure that we are on the verge of a big upside movement in grains, but it is impossible to provide it without the kicking of the passengers.
I am sure that we are on the verge of a big upside movement in grains, but it is impossible to provide it without the kicking of the passengers.
(Previously published in TVT School)
Sincerely, Taras Sviatun