Corn and grains in general have had a massive rally this summer due to the heat and lack of precipitation across the U.S.
That’s pretty much been the case here in CLE, OH as well – a lot of heat, not a lot of rain.
Until this past week that is…been getting cooler and rainier.
Which is ironic, given that today, corn reached a peak of ~843, which is at / a touch below two very important long-term resistance points (arguably the most important ones) in the chart below.
As it did this today, it put in what appears to be a pretty nasty looking, bearish upside wick at that resistance.
Did corn meet its maker today just as the weather is beginning to turn?
If it hasn’t, the only set of resistance left is its 461.8% Fib extension level at ~1,350, a good deal higher.
Call us crazy for using a Fib extension level dating back to the early 1960s, but we’ll call you crazier if it turns out corn turns around right here and heads lower or at 1,350.