Soybean Oil

(ZLZ24) 
This week's analysis is below the New Video.
 

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 42 videos on how to use the Fibonacci retracements with the ONE44 rules and guidelines. HERE IS THE LATEST.

In it we go over the Soybean Oil and S&P 500

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Soybean Oil

December
From last week,

This week's rally fell short of the tightest resistance at 43.29 and the setback from it can send it to new lows, so we will watch the 78.6% back to the 8/16/24 low for support.
 

Use 43.29 as the swing point for the week.

The setback from the 43.29 (23.6% and a major Gann square) area is just short of 78.6% back to the 8/16/24 low at 38.70.

Use 38.70 as the swing point for the week.

Above it, holding this area can be the start of the next leg up and more. The short term target is 38.2% back to the 7/24/23 high at 46.20. The long term target is 61.8% back to the 7/24/23 high at 50.10. Any rally that fails to get above 43.29 is a negative sign and new lows can quickly follow.

Below it, the short term target is the 78.6% level at 37.10, a failure to turn higher from this area will give us only major Gann squares to look for support and the use as the swing point when closed below, the next two are 35.33 and 31.02.

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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