Metals Investigation Heating Up
The fire storm over the NY Bankers manipulating markets is spreading. Goldman Sachs has been the brunt of jokes such as that that aired on the The Daily Show.The Federal Reserve is also currently reviewing Morgan Stanley’s behavior in commodities markets.
The CFTC has been forced to at least subpoena Goldman Sachs, and the allegations have filling the TV and press not to forget the internet, they have no choice but to look into this whole mess. Of course they will not press criminal charges, But they could reach the fine stage that makes it all better and they go away.
Outlook For Wheat
Wheat is still position to move into a low for September where we have a Monthly Directional Change. We do have a important Monthly Bearish Reversal at 604250. That is the major closing support to watch. Only a monthly closing beneath that would point to a drop down to the 580250 level.
The A$ Outlook
We still see the A$ declining with the commodity cycle. The rise is likely after 2015.75. For now the major resistance stands at the Monthly Bullish Reversals at 12366 and 13804. The interesting aspect is that the dollar peaked on August 5th at 11299. The Daily Bearish to watch lies at 10713. A minor Daily Bearish lies at 10858. We do have a Directional Change next week.
