Soybeans

(ZSX24) (ZSF25) 

The chart below is key to this analysis.

There are two methods we use at ONE44 to find support and resistance in the markets.

The first are major Gann squares, these are the yellow horizontal lines on the chart. On the chart you can see where the market turned multiple times at these levels.

The second is Fibonacci retracements and this is what most of this post will be about.

There are a few basic rules when using the Fibonacci retracements with the ONE44 rules and guidelines.

This is the short version.

A 38.2% level keeps the trend intact and new highs/lows should follow.

A 23.6% level shows the market is extremely strong, or weak.

A 61.8% level can cause wide swings and keep the market in a trading range.

A 78.6% level can send it 78.6% of where it just came from and even be the end or start of a Bull market.

We have done 43 videos on how to use the Fibonacci retracements with the ONE44 rules and guidelines. These Videos are worth watching even if it is not in the market you are trading, as the ONE44 rules and guidelines are the same for every market. You will also see why we believe the Fibonacci retracements are the underlying structure of ALL markets.

This is the latest.

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Soybeans

This will be the last update for November.
From last week,

It failed to make a new low on the break from 23.6% at 1055.00, but did have one close below 981.00, only to get right back above it keeping the idea of this being the base of the next Bull run. The rally so far has hit 38.2% back to the 9/30/24 high at 1007.00, this level will be key for the next week.

Use 1007.00 as the swing point for the week.

As we have said many times, we watch all the retracements on every move to see just how strong, or weak the market is regardless of the longer term targets. The rally back above 78.6% (981.00) could have produced a 78.6% move the other way to start, however as you see on the chart, that rally was stopped by a 38.2% retracement at 1007.00 and this took it to a new low for the move and it has 3 closes below the 984.00 major Gann square.. It has not taken out the 8/16/24 low and a longer term bottom remains possible, the 38.2% level above will be the first test on any rally at 1005.00.

Use 984.00 as the swing point for the week.

Above it, the short term target is 38.2% back to the 9/30/24 high at 1005.00. The longer term target is 78.6% of the same move at 1047.50. The long term swing point remains at 1116.00, this is 38.2% back to the contract high.

Below it,  there are only major Gann squares to watch for support and then use as the swing point when closed below, the next few are 936.00, 892.25 and 849.75.

ONE44 Analytics where the analysis is concise and to the point

Our goal is to not only give you actionable information, but to help you understand why we think this is happening based on pure price analysis with Fibonacci retracements, that we believe are the underlying structure of all markets and Gann squares.

If you like this type of analysis and trade the Grain/Livestock futures you can become a Premium Member.

You can also follow us on YouTube for more examples of how to use the Fibonacci retracements with the ONE44 rules and guidelines.

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