This season is looking very interesting for farmers as winter has lasted so long and farmers are late planting this year. As I have family who are farmers, I thought I would spend some time talking about what the corn market looks like.
From a farming standpoint, futures are a great way to hedge and lock in profits for your crops no matter when you plan on selling your crops. With zones and zone theory, we can really lock in those profit in the easiest way to possible. As we look at the picture attached, we can see that on daily chart we are looking at the $700ish level for a target.
We also get confirmation of these level from the weekly chart and look to lock in there by simply using the supply zone to hedge a harvest. Now because price has also be at the 700 level a couple it can easily go through it and then we would look at the supply zone above that at $760 to $820 weekly zone.
That zone is big so we want to look at bottom edge for a good target or a reversal bar inside that area aka: engulfing candle to take profits. In knowing where supply and demand are in the market is key and with the zones we can keep track of them and it gives us an edge that we can take all the way to the bank. I hope that helps all you farmers out there.
May the Trend be with you,
Interested in learning more from Gabriel? Then check out his blog at APAZones.com.