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SE ND | Hi Itcase,
The gap left by the roll is considered a zoom, imo. A gap and a wide range bar (zoom) are the same thing from what I've heard JP say.
A couple months ago I would have agreed with you about not making new lows, or at the very least testing 3.18. The context is the big controlling factor here. After the swing high from late last fall failed to confirm, it was the target and was taken out when corn rallied this summer. After price took out the failed structure it had a job to do, and that is to take out the lows at 3.18. It shouldn't be surprising that price didn't go directly there. Often times price coils before a pivot. This is where the big players will do alot of their business as the reposition before giving it a push into the pivot and then running it hard the opposite direction. JP mentioned before that the pivot could come around Thanksgiving. When looking at the touches on the B/C line it sure looks like it's lining up that way.
As far as trading higher before going into the pivot, it could happen. I see 4.00-4.15 as heavy resistance, but I honestly don't see how price even has the energy to manage that. 3.90-3.95 looks to be an area where corn may stall out, imho.
When you take a look at the daily chart it's encouraging to see the energy that is built by the year long sideways action. Whenever we do push into the pivot the overlying weight suppressing price will be off.
Good questions. Thanks for asking.
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Corn chart update
