Best of the Week
Most Popular
1. Investing in a Bubble Mania Stock Market Trending Towards Financial Crisis 2.0 CRASH! - 9th Sep 21
2.Tech Stocks Bubble Valuations 2000 vs 2021 - 25th Sep 21
3.Stock Market FOMO Going into Crash Season - 8th Oct 21
4.Stock Market FOMO Hits September Brick Wall - Evergrande China's Lehman's Moment - 22nd Sep 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.How to Protect Your Self From a Stock Market CRASH / Bear Market? - 14th Oct 21
7.AI Stocks Portfolio Buying and Selling Levels Going Into Market Correction - 11th Oct 21
8.Why Silver Price Could Crash by 20%! - 5th Oct 21
9.Powell: Inflation Might Not Be Transitory, After All - 3rd Oct 21
10.Global Stock Markets Topped 60 Days Before the US Stocks Peaked - 23rd Sep 21
Last 7 days
AI Tech Stocks State Going into the CRASH and Capitalising on the Metaverse - 25th Jan 22
Stock Market Relief Rally, Maybe? - 25th Jan 22
Why Gold’s Latest Rally Is Nothing to Get Excited About - 25th Jan 22
Gold Slides and Rebounds in 2022 - 25th Jan 22
Gold; a stellar picture - 25th Jan 22
CATHY WOOD ARK GARBAGE ARK Funds Heading for 90% STOCK CRASH! - 22nd Jan 22
Gold Is the Belle of the Ball. Will Its Dance Turn Bearish? - 22nd Jan 22
Best Neighborhoods to Buy Real Estate in San Diego - 22nd Jan 22
Stock Market January PANIC AI Tech Stocks Buying Opp - Trend Forecast 2022 - 21st Jan 21
How to Get Rich in the MetaVerse - 20th Jan 21
Should you Buy Payment Disruptor Stocks in 2022? - 20th Jan 21
2022 the Year of Smart devices, Electric Vehicles, and AI Startups - 20th Jan 21
Oil Markets More Animated by Geopolitics, Supply, and Demand - 20th Jan 21
WARNING - AI STOCK MARKET CRASH / BEAR SWITCH TRIGGERED! - 19th Jan 22
Fake It Till You Make It: Will Silver’s Motto Work on Gold? - 19th Jan 22
Crude Oil Smashing Stocks - 19th Jan 22
US Stagflation: The Global Risk of 2022 - 19th Jan 22
Stock Market Trend Forecast Early 2022 - Tech Growth Value Stocks Rotation - 18th Jan 22
Stock Market Sentiment Speaks: Are We Setting Up For A 'Mini-Crash'? - 18th Jan 22
Mobile Sports Betting is on a rise: Here’s why - 18th Jan 22
Exponential AI Stocks Mega-trend - 17th Jan 22
THE NEXT BITCOIN - 17th Jan 22
Gold Price Predictions for 2022 - 17th Jan 22
How Do Debt Relief Services Work To Reduce The Amount You Owe? - 17th Jan 22
RIVIAN IPO Illustrates We are in the Mother of all Stock Market Bubbles - 16th Jan 22
All Market Eyes on Copper - 16th Jan 22
The US Dollar Had a Slip-Up, but Gold Turned a Blind Eye to It - 16th Jan 22
A Stock Market Top for the Ages - 16th Jan 22
FREETRADE - Stock Investing Platform, the Good, Bad and Ugly Review, Free Shares, Cancelled Orders - 15th Jan 22
WD 14tb My Book External Drive Unboxing, Testing and Benchmark Performance Amazon Buy Review - 15th Jan 22
Toyland Ferris Wheel Birthday Fun at Gulliver's Rother Valley UK Theme Park 2022 - 15th Jan 22
What You Should Know About a TailoredPay High Risk Merchant Account - 15th Jan 22
Best Metaverse Tech Stocks Investing for 2022 and Beyond - 14th Jan 22
Gold Price Lagging Inflation - 14th Jan 22
Get Your Startup Idea Up And Running With These 7 Tips - 14th Jan 22
What Happens When Your Flight Gets Cancelled in the UK? - 14th Jan 22

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

CRB Commodity Index Chart Analysis Trend Forecast

Commodities / CRB Index Jul 02, 2018 - 11:38 AM GMT

By: Austin_Galt

Commodities

Pattern – price has been in a downtrend since the 2011 high and the current price action looks corrective in nature. An ABC correction looks to be playing out with price still to put in a wave C high.

Bollinger Bands – price is back at the middle band and I am looking for support to kick in here.




Fibonacci – price is at the 50% angle which looks to be providing some resistance. Ultimately, I favour price to break this resistance and eventually top out around resistance from the 61.8% angle. If that occurs then I will be looking for the downtrend to resume with price trading between the 50% and 61.8% angles with the final low coming in at support from the 50% angle. Let’s see.

Horizontal lines – the upper line denotes the spike high of 488 set in November 2015 and I am looking for price to nudge above this level before turning back down, thereby creating a false break high. The lower band denotes the 2008 low of 322 and my expectation is that the final bear market low will trade marginally below this level. Why? The quarterly chart analysis will answer that.

Moving averages – in a bullish position with price now at support from the 200 monthly average (black). I am looking for price to rally up to the 100 monthly average (red) which I expect to act as resistance.

RSI – has dipped into weak territory but if I am correct in forecasting a rally now then a switch back into strong territory should be just around the corner.

Quarterly Chart

Pattern – I believe a massive 5 point broadening top is playing out with price still tracing out its way to a point 4 low.

Bollinger Bands – the bands are tightening with price finding resistance at the upper band and support at the middle band. I now expect price to rally and push into the upper band.

Fibonacci – price recently found support at the 76.4% angle and I am looking for a rally back up to around the 61.8% angle which should provide resistance. Personally, I favour price to fall a bit short of that 61.8% angle. Ultimately, I am looking for the final point 4 low to be around support from the 88.6% angle. Price recently clipped the 61.8% retracement level and a common occurrence is that price then rallies back up to the 38.2% retracement level which, in this case, lies at 496. After that, I am looking for the point 4 low to get down to around the 76.4% retracement level of 302. This level looks to intersect with the 88.6% angle in 2001 so that is some potential timing for the final point 4 low.

RSI – is marginally in strong territory and generally trending up. A good sign for the bulls.

Summing up – as we head into the second half of 2018 I believe the CRB Commodity Index is set for a solid rally in the vicinity of 20% from current levels.

By Austin Galt

www.thevoodooanalyst.com 

Austin Galt has previously worked as a stockbroker and investment banker while studying technical analysis for over two decades. He is also the author of the book White Night: A Colombian Odyssey

Email - info@thevoodooanalyst.com 

My website is www.thevoodooanalyst.com 

© 2018 Copyright  The Voodoo Analyst - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

Austin Galt Archive

© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in