Wheat Futures Chart Analysis: Molokai and Pinch Down

Ecclesiastes 3:1 tells us there is a season for all things. I believe the season for wheat futures to begin an historic move is near. Here is the view across three time-frames.

1-Day: A Large Molokai with a Weak Sister

The 1-Day chart has formed a large Molokai with a Weak Sister:

Wheat futures 1-Day chart with a large Molokai and a Weak Sister — Wheat futures, 1-Day chart: a large Molokai with a Weak Sister. Chart courtesy of Investing.com.

1-Week: A Pinch Down

The 1-Week has shown a full cycle of down-up-down and has formed what old-timers call a pinch down:

Wheat futures 1-Week chart showing a pinch down after a full down-up-down cycle — Wheat futures, 1-Week chart: a pinch down. Chart courtesy of Investing.com.

1-Hour: A 1-2-3 Up

The 1-Hour has formed a nice 1-2-3 Up:

Wheat futures 1-Hour chart showing a 1-2-3 Up — Wheat futures, 1-Hour chart: a 1-2-3 Up. Chart courtesy of Investing.com.

Near-Term Strategy

I would look for a Goldilocks to form at 1-Hour and nibble at nested Setups at 15-minutes.

TIP: Watch cash prices to confirm a move!

This post is educational commentary on chart structure using Goodman Wave Theory. It is not investment advice. Trading futures and FX involves substantial risk of loss.

Good Trading!

Michael Duane Archer

Keep Learning the Goodman Way

If this article was useful, these are the next steps:

The Method: propagation, intersection and the 3-C Principle, drawn plate by plate.
The Goodman Library: the books, from Goodman for Grasshoppers to The Goodman 6 & 6.
The Trader’s Playbook: the Molokai setup in one printed, numbered volume.
Mentoring: work one-on-one with the authors.

Educational onlyThis post is educational material. Nothing in it is a trade idea, signal or recommendation. Trading foreign exchange, futures and equities involves substantial risk of loss and is not suitable for every investor. Past performance is not indicative of future results.