By mid-August, wheat prices have corrected down by almost 50% from the annual highs. But they failed to update the lows seen at the beginning of the year, the 740 level stopped the decline, and the prices began to recover.
The formed upward trend helped break through the resistance of 845 last week and set a two-month high above 870. The next growth target will be 940.
Today's release of updated estimates of wheat and harvest stocks by the U.S. Department of Agriculture may be the driving force for further price hikes. Given the drought seen in summer in the United States, the data may cause the prices for wheat and other grains continue to rise.
This content is for informational purposes only and is not intended to be investing advice.