December Live Cattle
“Bag of Nails” is a cowboy term used to describe a state of confusion or topsy-turvy. This adequately describes the structural nature of the cattle market. Concerning the advance from 112.900 I currently hold several opinions as to its unfolding wave sequence all of which point to higher prices. My favorable conclusion contends we are in the midst of an extended 5th wave. A pullback from this level is very possible. I would expect any correction to be mild. Downside support comes in at +/-118.800. From here the contract should stage another advance of roughly 3 pts. Any subsequent correction would need to hold above 119.175. This should set the stage for a final ascent which should extend to +/-126. The second scenario points to an ending diagonal structure unfolding. This need to play out in a series of three three wave constructed rallies. Rules require a contracting of wave lengths for each of the sequences. For this to be accurate we would need to pullback from these level to setup the final leg. Downside support target comes in at +/- 117.500 From here I would expect another three wave structured ascent of roughly 5 pts. My last assessment suggest that the move from 114.525 is close to terminating. The upside projection using a 1 x 1 measurement and allowing for a moderate corrective move comes in at roughly 122. It is always imperative not to become too one-sided in ones analysis. The market is always in motion and continuously makes more information available which needs to be absorbed from an unbiased mind set. As the facts change it is wise to adjust ones conclusions.
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.
My direct line at Walsh is 312-878-2391
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.