After selling off for 2 years

$ 418 Low of May 2019
$1284 High of May 2022
$ 540 Low of April 2024
After massive floods in Europe, Asia, and now South America, wheat prices have taken off like a rocket. Commodities are not my specialty, but i have watched this one for years and it's been bought every pull back in the past 2 moths after it was sold every rally for the last 2 years. Even though the price is almost 30% off the last month lows, there is a lot more room to the highs of 2022.
Strategy- small size, looking to catch the big move and more importantly to be able to hold on to it.
Stop $631
1st Target $900
2nd Target $1,200
let's see how this one goes:)

Trade active:

Wheat traded above the previous sell off point of $703 in July 2023 and made a reversal. I am moving my stop/take profit to 751 on 1 contract because if it does sell off here we will have a lower high that followed a lower low and sellers are still in control. This thing is supper volatile and it is prudent to have a small size (relative to your account).
Navigate this one with care

Comment:

The price gapped out on the news of wheat shortage and sold off hard.
if it closes below $750- i am out!

Trade closed: stop reached:

the post above from June 3rd should be $650 stop. Now we closed below $650 and i am out of wheat, because it looks like no flood or occupation of one of the largest grain producers, Ukraine, will get on the way of GMO.
Whatever you do, do not overtrade this one.

Comment:

When I post ideas and get stopped out, I naturally feel bad because when the stops are hit, you don't know if the momentum will continue or reverse. But this is the second time that i look back and say "wow, I am so glad i just set the stop and let the market do its thing". In this case the price went from our stop $650 to $600 in just a few days.
Never change or cancel your stops. It will save you a fortune!