This article is brought to you by:
CONSENSUS

FOURTH TIME, INC.
P.O. Box 17468, Milwaukee, Wisconsin
414-351-1992

(March, 2002) CORN: The cyclical bias for corn was friendly in February, but this market is so content with moving sideways that nothing seems to provoke it more than a few days in either direction. Nearby corn is trading below, but mostly along with, the sideways slithering 200-day moving average. That movement comes within the context of a larger-bear trend so we must honor the primacy of the existing trend and assume the market is most likely to break out on the down side...eventually. Adding to that perception is the pattern formed since October of last year. A decline to the 1.99 level at this point will be the fourth such excursion over the last four months. As you know, the fourth time is usually successful in it's effort to penetrate a previous support level. After they drop the other shoe and trade below 1.99, it will be time to ask the question: "Is there a reason to buy?"

 

Dave Norton

Hosted by:
CONSENSUS, INC. AND INVESTORS CO-OP
P.O. Box 520526
Independence, MO 64052-0526
816-373-3700
Fax: 816-373-3701
editor@consensus-inc.com