The number one flaw of mainstream financial analysis is its tendency to show-up late to a market’s price action. It’s a lot like jumping out from behind the couch and yelling “Surprise!” at a birthday party – hours after the guest of honor has already arrived.
Even then, the “gifts” of wisdom they bring to the table are often inconsistent and even inaccurate. Take, for instance, these former news stories regarding Corn:
August 12: Corn prices turn steeply down: “Despite June’s severe flooding in the Midwest, US farmers are on pace to produce the second largest corn crop in history.” (CattleNetwork.com, KS)
August 19: Corn prices rise to a three-week high: “Corn rose on signs that plantation should be delayed in the Midwest of the United States.” (Associated Press)
More recently, the popular press has gone with this familiar angle: Wednesday, September 3, corn prices slide 1%: “Investors have fled commodities as oil prices slump and the dollar strengthens.” (Reuters)
There are two main problems with that logic: First, Corn prices hit a record peak on June 27, while crude oil didn’t begin falling until July 11. Also, the U.S. dollar hit its life-time low in mid March – yet the upward crawl of the currency in the months following did nothing to take the wind out of corn’s rally.
Now for the alternative – namely, anticipating the major turns in corn’s price action BEFORE they occurred. On this, the January 2008 Monthly Futures Junctures stepped up to the plate to reveal whether the grain’s powerful rally to multi-year highs was set to last.
At that time Corn prices stood at a mere $4.50 per bushel. And, according to Monthly Futures Junctures editor Jeffrey Kennedy, the sky was the FLOOR to the market’s upside potential. Back in January, Jeffrey saw a strong likelihood for corn prices to DOUBLE from then levels and cited the never-before-seen 724 ¾ as the grain’s uppermost target. In Jeffrey’s own words from nine months ago:
“I believe the highs that corn is currently setting – and will undoubtedly set in 2008 – will mark historic extremes.”
Corn did in fact reach Jeffrey’s target set back in January at its June 27 all-time high. From there, prices plunged 36% to a seven-month low in late August.
As for where the Grain King will be in the days and weeks ahead – the September 3 Daily Futures Junctures presents in-depth analysis, labeled price charts, and video content that walks you through the current labeling, potential price targets, critical trend lines, and more. Click here to begin.