October Live Cattle
With another close below the 106 speed-line support the market has left door open for a breakdown, however, I’m not looking for anything sever. Channel line/pitchfork support convergence zone comes in at 102.500-101.500. Daily momentum indicators should display convergence at this level and any hard low might snap back. Also, the December contract remains more stable with a clear (a-b-c) completed corrective pattern in place in the daily charts. If the market puts in a low off projected level support and is able to then close above 106.300 I could argue that the front month has likewise completed a non-impulsive (b) wave correction. We will have to stay nimble and open-minded to accurately asses any new information the market makes available in tomorrow’s session.
My analytical breakdown focuses on a blend of wave pattern recognition, long and short term geometrical extensions and momentum signal interpretation. Please feel free to contact me at Walsh Trading to discuss my technical approach. Employing my expert skill set I’d be pleased to offer a free customized outlook for a product in your specific field.