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The January Soybeans contract has fired 2 Day ROC Sell, Wide Range Downside Reversal, 90-10 Low Continuation, and Momentum Pinball Buy signals for today's trading. The 2 Day ROC Sell signal implies that today's principal trade direction should be to the downside. The Wide Range Downside Reversal signal tells us that Friday's trading likely marked a significant short term turning point with more downside to follow. The 90-10 Low Continuation signal suggests that Friday's late day move lower is likely to continue on into today. The Momentum Pinball Buy signal tells us that we'd want to consider longs if price is strong enough to break the first hour high. Cycle Indicators (chart at right) appear as if a short term cyclical top has just been marked, and the larger trend is to lower prices. Odds favor further downside in early morning trade. Look for an opportunity to sell on a break of Friday's 1470^0 low with a stop just above the 1480^2 level of the Daily Pivot. Price weakness below the DP may provide clues for earlier entry. The Momentum Pinball Buy signal, on the other hand, suggests we consider the long side if the first hour's high happens to be broken to the upside.

 

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