July Wheat Got In My Face Update 5

Woot! We had a nice follow through to the upside today. In the 5/27/20 post I mentioned we will create a Head & Shoulders pattern if we continue up in price (https://jmstweets.blogspot.com/2020/05/july-wheat-got-in-my-face-update-3.html). Well, we did and we did. I added the neckline and measured move in light blue on the chart. I didn't copy and paste the measured move yet, to find a new target, because we haven't broken through the neckline yet.

If we do breakout through and close above the neckline, I'd want to add to our position. However, our current target of 528 looks like a serious resistance level, so rather than add to the long position at a breakout, we should wait for a likely rejection off 328 resistance, followed by a likely retest of the neckline, and finally a reversal back upward. On the reversal back upward off the neckline, that's the best time to go long. By then our current position will have been liquidated.