Introduction
The world is in turmoil, stock markets are declining, commodities go through the roof. This will all have effect on our daily lives as inflation is likely to linger on for some time. If this continues for a prolonged period of time our daily expenditures will eventually become more expensive on nearly all consumer products due to the increase in price of wheat and other commodities .
In Europe we are already paying the price for it due to increase in natural gas prices prior to the start of this winter and at the pump we see extreme price per gallon which are never seen before.
An extreme surge also took place in wheat which was already ongoing for some time. Russia and Ukraine dominate 25% of World export market on various grains. I am sure Russia is not likely to export their grains to Western countries, and I do not think Western countries will will buy Russia’s grains in the foreseeable future. This will have an effect on the price of wheat and other grains.
Looking at the cycles the low of wheat in 2016 was set at $360 on the spot which is a remarkable degree in price, and currently trading around $1200 on the spot. I am not an expert on wheat but Gann fan lines drawn from past lows at a 45° degree angle show me a possible crest may still lay ahead of us later in this year. Extremes in the past show a planetary and Fibonacci distance in degrees from highs to highs and lows that is probably pinpointing to the great cycle to complete.
Why do we study wheat? As W.D. Gann mentions the extreme prices on wheat are very much associated with the Great Time Cycle: the 90 year cycle and the 60 year Gann Master Cycle as well. This explains the surge in wheat and once again the 90 year cycle has been confirmed in wheat. I will post a monthly chart and analysis on wheat for our paid subscribers here on Substack later today.
We just have updated the Gann Master Cycle on the $DJIA and the $S&P 500 for our paid subscribers here on Substack with a forecast until the end of this month.
We will continue to follow the indices and in the coming weeks we are working on an update to the Stock Market Outlook 2022 - third edition with brand new analysis. Owners of the Stock Market Outlook 2022 can buy this edition for a minimal fee here on Gumroad. I expect this will not be ready before the end of the month.
Our paid subscribers here on Substack can continue reading this weeks update on the Gann Master Cycle following the S&P500 and the $DJIA. More analysis on various commodities and updates on various stocks will follow shortly.
P.S.: On all of our communications, posts and analysis our Terms of Use and Disclaimer apply. Hypothetical or simulated performance based on past cycles have many limitations. Hence, past performance is no guarantee for the future. Anomalies can occur and cycles can contract, extend or invert. So, be careful and always watch the charts in front of you.