December Live Cattle
The December Live Cattle market staggered ahead to a modestly higher close today. Prices have risen slightly above targeted daily and hourly geometric lines between 126-127. These have been previously discussed. Currently the the momentum indicators are showing no signs of divergence. Structural evidence would suggest another wave higher which will unfold from a subset 4th wave low that has yet to unfold. Any pullback that may develop will likely be corrective in nature and fall between the .236 and .382 retracement level from the 114.500 inner extreme thus giving birth to the ending ascent. I have delved into longer term time-frames to asses where this market will finally extend to. Fibonacci converge zones employing both extension and retracement measurements lie overhead between 131 and 133. The 20 period Average True Range study currently reads 4.600. Extended weekly ranges have been roughly 5.500 open to close. This all suggests a near term weekly high of around 127.400-128.200.
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.
Please join me next Wednesday as I apply Wave Theory and Geometric targets levels to this and other commodity markets.