Corn and Sugar facing resistance?
Much has been made of the drought conditions that have shot the price of wheat, soybeans and corn upward. Only a month ago, the CORN ETF broke to the upside of a falling wedge. After a quick 20% rally, it now faces resistance at its 2011 high.
While corn has been front and center in the headlines, sugar has quietly rallied up to (4x-tested, 2 year old) trendline resistance in a pennant pattern that dates back four years. Will it retreat as part of a cooling agricultural frenzy, or will it follow corn and friends with a breakout of its own.