Wheat futures made a daily-scale bottom extension yesterday, which is the first since this ‘down-leg’ began with a top extension in December. We have no outstanding short recommendations in this market and would now buy to go long. Bottom extensions are our most reliable signal and often work particularly well when there is a lower low already established in the market concerned – as there was in wheat prices during late September. There was also a weekly-scale bottom signal then, which is just about still ‘in date’. This is another encouraging sign.
