Soybean Meal Technical Analysis | Soybean Meal Trading: 2017-08-28 | IFCM India
IFC Markets Online CFD Broker

Soybean Meal Technical Analysis - Soybean Meal Trading: 2017-08-28

Soybean crop may decrease in the US and India

According to the German Oil World agency, the world soybean meal exports increased by 2.6% in July, 2017, compared to the same period of the last year. Will the SOYB prices grow?

The demand for soybean meal increased in the European Union, Thailand, Vietnam and Iran and decreased in Indonesia, Mexico, South Korea and Egypt. The net global demand may continue to grow in the second half of 2017. Earlier, the volume of sale positions on the Chicago Stock Exchange grew for 5 weeks in a row. The reduction of short positions may additionally support prices. Additional factors for the price growth may become the soybean crop forecast in the US by Pro Farmer (Farm Journal Media). It assumes that in 2017, 4.33 bln bushels may be collected. This is less than the forecast of 4.38 bln bushels by the US Department of Agriculture. The Soybean Processors Association expects a decrease in soybean crops in India in the kharif season (mid-August) by 17% because of a reduction in the planting acreages.

SOYB

On the daily timeframe, SOYB: D1 reached the support level and is trying to correct upwards. The further price increase is possible in case of a decrease in world soybean crop.

The bullish momentum may develop in case SOYB exceeds the level of 305. This level may serve as an entry point. The initial stop loss may be placed below the last fractal low and the Parabolic signal at 295. After opening the pending order, we shall move the stop to the next fractal low following the Bollinger and Parabolic signals. Thus, we are changing the potential profit/loss to the breakeven point. More risk-averse traders may switch to the 4-hour chart after the trade and place there a stop loss moving it in the direction of the trade. If the price meets the stop level at 305 without reaching the order at 295 we recommend cancelling the position: the market sustains internal changes that were not taken into account.

Summary of technical analysis

PositionBuy
Buy stopabove 305
Stop lossbelow 295

IFCM Trading Academy - New era in Forex education
Pass Your Course:
  • Get Certificate
trading academy

The best trading conditions and high-level services for our clients

We are ready to assist you on any issue 24 hours a day.

Note:
This overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or а recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.

Close support
Call to Skype Call to WhatsApp Call to telegram Call Back Call to messenger