Although commodities have tanked in the past 18-months, Chris Kimble of Kimble Charting Solutions takes a new technical look at the chart of the Thompson Reuters Commodity Index and illustrates that the large decline has commodities now testing the neckline as support.
The Thompson Reuters Commodity Index created a multi-year head and shoulders topping pattern with the right shoulder being completed in the summer of 2014. Since the right shoulder took place, commodities have tanked in the past 18-months.
The large decline now has commodities testing the neckline—as support—at (1) above.
Regardless of whether you own commodities at this time, the world wants/needs this commodities index to bounce off support at (1) above.
Why is this level so darn important? To read the entire article, click here…
By Chris Kimble, Founder, Kimble Charting Solutions