The following trend analysis applies to all Western Canadian regions.
Focus on the trend signals, less on the price.
Tomorrow is a big day with the USDA WASDE report, so we expect increased volatility over the next few days.
How will the market react to the report?
The CBOT wheat and MGEX wheat prices are being pinched between a declining 50 DMA and a rising 200 DMA.
Something will give.
The longer-term trend is still advancing, increasing the likelihood of a positive reaction to the WASDE report.
We will know more tomorrow.
The CWRS wheat basis average NW Saskatchewan chart below is attractive, above $93/tonne.
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