Aug 102012

ZC 12 12 (1 Min) 08.10.12

8/10/2012 World Agriculture Supply and Demand Estimates (WASDE) – Corn (0230 HI time / 0830 EDT)
Forecast: n/a
Actual: n/a
Started @ 821.75 – 0229
1st Peak @ 841.50 – 0231 (2 min)
79 ticks

Reversal to 808.75 – 0234 (5 min)
131 ticks

Notes: Report Reaction caused a large long spike of 79 ticks over 2 min, crossing no SMAs, but the R1 – R3 Pivots. It peaked 24 ticks above the R3 Pivot, so no real resistance was encountered. Prior to the report, the market had been trading in a very tight range as the HOD and LOD were only separated by 18 ticks. With JOBB, you would have filled long at 824.00 with 2 ticks of slippage, then had an opportunity to exit with at least 50 ticks as it eclipsed the R3 Pivot and hovered above for most of the :31 bar. It reversed for 131 ticks in the next 3 min, nearly reaching the S3 Pivot. After that it bounced up to the R1 Pivot, fell again for a double bottom, came back up to the PP Pivot, then fell again for a triple bottom.