The grain index chart is made up of beans, corn, wheat, oats, meal, and oil. Multiplies by their contact values. This gives a fair value in relation to each other on how much the "grains" have gone up or down as one unit. Example oats at 300x50=15000TV were beans are 750x50=37500TV, this index relation is some what skewed to the beans, because of the higher value. The next chart uploaded will not have the beans included, call it a feed grain / energy index.It appears the market is poised for its 5Th and final leg. As you can see the market has equaled its time and price break from the summer of 2006, and its time break, not so much a price break, in winter of 2006. This 30 day market day break currently comes in on April 3-6Th 2007. The acreage report is Friday the 30Th and will cause some interesting fluctuations, where it closes the following week will be key.
The feed grain index does not include the soybeans, it does include meal and oil. This charts is coiling up for potential move, up or down, is still unknown. Coming into the weather for the USA one would assume and advance is likely, unless the report Friday is extremely bearish. A close over last week's index high will be bullish this index.Disclaimer: All comments and posts are for learning purposes only. Don't use this information for your trading. Don't believe the comments or posts as accurate at all. Again this blog or any other site related are for learning purposes only.
