Equity prices gapped higher at the open (a) and then rallied, although by the time they got to point (b) they were clearly over-extended (c). Prices fell, but counter-rallied into the 50 minute EMA (d) and 20 minute EMA (e). Prices next moved through the 200 minute EMA, but staged a late day rally (f).
The underlying technicals of the SPYs are strong with the A/D line moving higher (a), the CMF printing positive numbers (B) and the MACD moving higher (c). However, also note the MACD is has recently given a sell signal (c).
The Treasury market opened lower (a) and moved lower throughout the day. Prices attempted several counter-rallies (b, c, d, and e), but eventually ended lower, printing a strong downward bar at the end of the day on strong volume.
The dollar moved lower at the open, but rallied soon thereafter (b) before closing out in a sideways consolidation (c).
Wheat started the rally in grains, with the Russian harvest situation. What prices peaked in early August, but have since consolidated (B). Also notice the EMAs (C) are in a very tight configuration, indicating a lack of direction for the traders. Finally, the MACD is at low levels, indicating there is no momentum in this market right now.
Corn, on the other hand, has gapped higher (A) and is using the 10 day EMA as technical support. The gap is the result of a USDA projection for lower crop yields this year. The EMAs are also strong (B), but the MACD is now moving sideways.
Soy beans have risen in sympathy with corn's spike, moving through key resistance (A) and forming an upward sloping pattern (B). EMAs are bullish (C) as is the MACD (D).
