Friday, September 17, 2021

Dec Wheat Bullish Gartley - Update 1



Interesting challenge at the close today to decide whether to exit or hold. 

Today is a Friday, so we have weekend risk. Today and the last 2 days formed a bit of an Evening Star, but its not fully formed. Yesterday and today did form a Bearish Left/Right Combo candlestick pattern.

On the other hand, we didn't close under the 8ema, and Stochastics are not overbought. Today is a little unusual anyway being options and futures expiration day. Also relatively weak volume today. 

I think the most pertinent condition on the daily chart is a "Bobble", which means price is temporarily trapped between a set of moving averages. You can see on the chart, price is bouncing within the range of the 3ema, 8ema, 20sma, 34ema, and 50 sma.

So, given all the above, plus the fact we are using the mini-contract, I decided to hold the position over the weekend.

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