Blog Series: Farming with Technical Analysis

Headshot of Trent Klarenbach, founder of Klarenbach Research
Trent Klarenbach
May 2, 2024
A trading desk environment showing multiple computer screens, each displaying different tools for commodity trading analysis.
May 2, 2024
Technical analysis is an essential skill for farmers and traders in the commodity markets, providing insights that help predict market movements, manage risk, and enhance profitability. From candlestick patterns to complex indicators like MACD, each tool offers unique advantages. In the following article we'll guide you through ten powerful articles that explore different aspects of technical analysis applied particularly to the grain and special crops markets. Whether you're a novice or a seasoned trader, these reads are invaluable for honing your trading strategies and increasing profitability.

‍

1. Simple Moving Averages

Discover how simple moving averages (SMAs) smooth price data to reveal trend directions and duration, aiding traders in making informed decisions in the commodity markets.

‍Read more about Simple Moving Averages

A computer screen displaying moving averages, commonly used for analyzing trends in commodity trading.

‍

2. Fibonacci Sequences and Retracements

Learn how Fibonacci tools are used to identify support and resistance levels, providing a mathematical approach to predicting market reversals and continuations.

‍Explore Fibonacci in Trading

A computer screen displaying Fibonacci sequences and retracements, which are used for identifying potential reversal levels in commodity trading.

‍

3. Chart Patterns

Uncover how chart patterns signal potential market movements, helping traders capitalize on breaks and reversals in commodity trading.

‍Read more about Chart Patterns

A computer screen displaying various chart patterns, commonly used for technical analysis in commodity trading

‍

4. Trendlines: Mapping Market Movements

This article explains how trendlines are drawn and utilized to forecast potential price movements in the grain and special crops markets.

‍Discover Trendline Strategies

A computer screen displaying trendlines, used for identifying support and resistance levels in commodity trading.

‍

5. The Power of the VWAP in Commodity Trading

Volume Weighted Average Price (VWAP) is broken down to show how it combines price and volume data to offer traders a benchmark for trading decisions.

‍Learn about VWAP

A computer screen displaying the Volume Weighted Average Price (VWAP), a crucial tool in commodity trading.

‍

6. RSI: The Relative Strength Index

Find out how the Relative Strength Index (RSI) can signal overbought or oversold conditions, helping traders time their entries and exits for maximum profit.

‍Explore RSI Strategies

A computer screen displaying the Relative Strength Index (RSI), used in commodity trading to identify overbought or oversold conditions.

‍

7. MACD: Your Go-To Market Indicator

Moving Average Convergence Divergence (MACD) is explored for its effectiveness in identifying trend changes and momentum in commodity trading.

‍Read about MACD Applications

A computer screen displaying the MACD (Moving Average Convergence Divergence), which is used for analyzing momentum in commodity markets.

‍

8. Commitment of Traders Report: Unveiling Market Sentiment

Learn how to interpret the Commitment of Traders (COT) report, which provides insights into the positioning of different market players.

‍Understand the COT Report

A computer screen displaying the Commitment of Traders (COT) Report, used for analyzing market sentiments in commodity trading.

‍

9. Volume and Price Action: The Winning Duo in Commodity Trading

Explore how volume analysis combined with price action can provide deeper insights into market trends and trader behavior.

‍Discover Volume and Price Action Techniques

A computer screen displaying volume and price action analysis, crucial for successful commodity trading.

‍

10. Decoding Candlestick Charts

Dive into the world of candlestick charts, where each pattern tells a story about market sentiment, potential reversals, or continuations in prices.

‍Learn Candlestick Charting

A computer screen displaying candlestick charts, commonly used for commodity trading analysis.