In this special episode, the Tech Talk crew joins forces with The Grain Feed for a chart-packed, insight-filled look at today’s most talked-about commodity moves. Cody Koster, Andy Faulman, Jim Matthews and Jake Kingsley dissect the technical and fundamental forces behind corn’s latest break below support, soybean oil’s explosive run, and heating oil’s geopolitical twists.
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Future trading involves risk and not suitable for all investors. Content provided in the site for educational purposes and is not a solicitation to buy or sell commodities.
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Hello everybody. Welcome back.
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Today we have a very special episode. It is a tech talk grain feed mash up. Usually this time you’re looking at myself, Andy Forman and Paige Driscoll in the background, giving us the tech talk trio. But today we have two very special guests. First, coming from Chicago, Illinois, the keeper of the company calendar, the wrangler of the Muppets that ever ag the lifelong bears fan Jim Matthews.
00;00;38;18 – 00;00;51;21
And coming to us live from Wichita, Kansas. We have a gentleman, the baron of the basis, the director of the Feed Foundations team. Your favorite Western cowboy and mine, Mr. Jake Kingsley. Gentlemen, how are we today?
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Good afternoon Cody.
00;00;53;13 – 00;01;10;21
Doing very well. Cody. Thank you for having us. We are excited to have you guys on as everyone watches both of our shows. Pretty intrinsically figured this is the best time to get a little bit of a mash up and do them together. After the 4th of July holiday, everyone got their digits. No blown off firecracker happening. There you go.
00;01;10;22 – 00;01;13;16
Not too shabby. There we go. So that’s what we’re looking for.
00;01;13;17 – 00;01;14;27
Did you wear that shirt in the fourth?
00;01;14;27 – 00;01;23;05
I did not wear. It was only two times I’m ever going to wear the shirt. Number one, my wedding day number two. And we have a green feed and TikTok mash up. So far, only one has happened.
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That shirt is phenomenal. I mean, you’re the belle of the ball.
00;01;25;24 – 00;01;43;09
How many times have you, Taylor? Or twice. But I’m excited to have it on. I’m excited for you guys to be here and all of our viewers to watch us in all of our glory. But I think today we actually have three charts a little bit more driven towards the green side, but also a little bit on the dairy side to give everyone a holistic view.
00;01;43;15 – 00;01;45;02
Should we kick it off, Andy, with our first one.
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I don’t know. And I’m like, I don’t know if I’m going to make it through this one. I’m a little upset I didn’t get a look at the tuxedo.
00;01;50;11 – 00;01;53;15
Well, next time we do this, get your tux on or Cody’s money.
00;01;53;17 – 00;02;06;22
Or Cody’s wedding. One of the two. You’re implying that we get invited. The goat is wedding, so we got to start with that. Anyways, let’s talk corn. Christmas corn. I mean, this is Dapper Dan’s favorite chart right here. Yeah, yeah, I’m talking about you, Cody.
00;02;06;22 – 00;02;23;01
I know so and then it has been a favorite has been a reoccurrence on the show. And I tell you what I think when we talked about this last time breaking through 430, we had it again. What Monday. Today’s Tuesday the eighth. We had two days in a row below 4:30 a.m.. What do you think? You’re $4 next.
00;02;23;01 – 00;02;42;22
So I think when we talked about it last, we talked about 440. You already said it. But I mean major area of what was once support became resistance. Right. And so it broke at what, one, two, three, four or tried to at least scuse me and finally did. And once it did, look at that. It bounced right off it.
00;02;42;22 – 00;02;56;14
That’s such a sign of like the great sign of weakness. So yeah, I mean, like, it’s exactly what we talked about. You got that test and failure. I mean, it’s hard to like imagine the market continuing to break because you already had so much of a break. It’s one of those deals where it’s like you don’t want to be the contrarian, right?
00;02;56;14 – 00;03;12;04
Just because the market’s been going lower doesn’t mean it can’t continue to go lower. Right? I mean, like you go and look at like the S&P or something like that. And it’s just like, oh my gosh, how can this thing continue to go higher? Well go back and look at historically the things rocking. So I think when we looked at this last time you were talking about that guy right there.
00;03;12;09 – 00;03;13;26
Yep. That little dude.
00;03;13;29 – 00;03;15;25
Oh there’s little $4 gap.
00;03;15;28 – 00;03;19;20
It’s like $384. It’s your favorite though. Little gap through.
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We’ll get through gap and go.
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We have guests. That’s right. We’re curious what they have to say about this bad boy. Because this is Christmas comes early. Maybe for some folks here at the Christmas car.
00;03;28;21 – 00;03;38;26
Hey, now. Well, yeah. And I think it’s something that, you know, Jake and I discuss weekly on the grain feed, and Cody was our guest last week and talked about this as well.
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Which sure was. They were, by the way.
00;03;40;19 – 00;03;46;08
Not a tuck. So not as important of an occasion just to just to throw that out there.
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I can tell you, when he came to my house, like a couple of weeks ago, wherever it was, he was not wearing that shirt.
00;03;51;11 – 00;03;54;29
No, no, also not as important as a man. So I’m saying as a mash.
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Up, what are you going to do?
00;03;56;01 – 00;04;25;12
And on the match up, let’s make note of this chart here real quick. Right. And so this is this is a continuous corn chart here. So that 366 low Jake refresh our memory here. But that was the September contract trading. That low last year. The December contract bottomed out at 385. And what they did mid-August last year for the 24 contract at that time.
00;04;25;12 – 00;04;38;28
So so this is this is the Sep 24. Right. What you just talked. Yeah. And this would be Christmas of 24. Yep. And then now we’re on the Santa Claus okay. Sorry I just want to make sure everybody got a look at those different charts.
00;04;39;04 – 00;05;05;09
I think for the the great debate. Right. The big question of this summer then for our dairies who are feeding corn to their animals is do we go back and test those respective lows this year? Do we take the September 25th contract down at that 366 low? Can we take the December 25th contract back to that? 385 low from last summer?
00;05;05;09 – 00;05;32;19
And as you gents were talking on past couple tech Talk episodes, you’re talking about that these 25 contract and that 435 to 440 support then becoming resistance. That’s something we’ve watched very closely as well. And to ultimately break through that, it’s been very encouraging for feed buyers to see us break that and to come down and test really new lows over the last day or so.
00;05;32;19 – 00;05;56;05
And if you just go to the like, this 25 corn chart is a just really interesting corn chart as of late, because we did enter that July 4th weekend, that three day weekend, we saw a little bit of consolidation in these few days running up. But then that Wednesday Thursday leading up to it was, you know, an explosion higher.
00;05;56;05 – 00;06;17;28
And I think Jake and Cody and I had talked about that briefly was, you know, do you see some de-risking from manage money heading into that long weekend? Who are substantially net short corn at the moment in terms of the fund position. They take money off the table heading into that three day weekend. There are some speculation over you know, whether we come up with a trade deal with the Chinese.
00;06;17;28 – 00;06;42;06
Perhaps that gets announced. We were settling the one big, beautiful bill heading into that weekend. And then, of course, we have to worry about potential weather forecast changes. So it wasn’t surprising to see that short covering, I think, Jake, I was surprised to see how aggressive of a move we saw in terms of that short covering to then come out of that three day weekend and gap.
00;06;42;06 – 00;07;04;14
That sucker lower was a really big move into Sunday night and then another down day today after what was probably encouraged further by crop conditions being extremely favorable for corn 95 plus million acres projecting some really strong yields this year. Jake, what are you thinking of? That move? Yeah, I.
00;07;04;14 – 00;07;27;16
Think that moved, like you said, shows pretty extreme weakness in the market overall. I think it continues to encourage us to be patient in our purchasing of corn for the next feed year because they went back up and tested their area that previously was support. And now this thing is just falling apart in a hurry. And I think it’s on the back of crop conditions.
00;07;27;16 – 00;07;56;27
We’ve cleared all of our three day weekend, so we’ve got full trading weeks ahead of us going forward. We’ve got a wasabi coming out at the end of this week, and then we’re cruising right into the middle of July. You can get pretty confident in the two week forecast and what that’s going to do to the crop for the remainder of the month, and by all accounts, the crop looks great and most every important area, even a lot of the fringe acres as we refer to them.
00;07;56;27 – 00;08;17;04
When you add a bunch of acres year over year, you start to get places like Texas and the southeast to add some acres that normally wouldn’t be corn. And Central Texas is looking like they’re all but confirmed a record crop that’ll be harvesting here in just a couple of weeks. Some of the most southern parts of that area have already started.
00;08;17;04 – 00;08;42;03
Texas Panhandle has been catching very good rains, so they’re off to a really nice start. Folks in the southeast seem to be pretty comfortable with what they’ve got going on. So futures are doing a lot of the work here, and I would expect that basis starts to work in our favor here very soon as well, to get overall cash prices in a place where it’s pretty easy to say, yeah, it’s time to start buying some of this.
00;08;42;03 – 00;08;52;17
Cody, did you call it? Did you call it the Baron of Basis? I did it very basis. Yeah. Hey. Well, there you go. Right there. Cody and Andy, what are we thinking of? This chart? What’s what’s next for December? Corn futures.
00;08;52;20 – 00;09;08;29
Jim, like short answers for me. What stuck out to me? That’s what the chart was a couple things on the weekly. So this is going back to the weekly real fast right. It’s these three right here. The secondary stuff. One of the bottom to ADX. It’s basically the advanced decline. So basically what it it’s it measures like the health of a trend.
00;09;08;29 – 00;09;28;26
And when this is starting to move higher it’s signaling strength in a trend. So not necessarily like an uptrend right. It’s just saying that the current trend is gaining strength. So in this case of the downtrend that’s if you’re bearish. That’s a good sign. Same thing goes for the momentum that crosses zero. It’s held through that. And it’s getting into like new lows and momentum.
00;09;28;27 – 00;09;52;24
That’s a sign of weakness. And I drew this to this is money flow. What this is basically saying is that more money is starting to pour into days or in this case weeks. Each bar is a week. Each week is seeing more volume when it’s lower relative to weeks that are higher. So like money flow index, basically saying that like as more volume piles into like down days, it goes lower and in the in versus derivatives higher.
00;09;52;26 – 00;10;07;26
So it’s it’s one of those deals that measures I like money flow a lot. I mean it measures like it takes the price action. It says like, hey, if it’s the substantiated by a lot of volume that weighs more. So all three of these secondary stuff that we watch regularly are pointing to continued weakness in the strength. Why?
00;10;07;26 – 00;10;16;27
I made the comment of let’s because Ted’s a substantial break, doesn’t mean it can’t keep going unless Cody gets married. He puts a tuxedo on and then it blows up corn cheese and stuff like that.
00;10;16;29 – 00;10;17;14
You never know.
00;10;17;14 – 00;10;18;14
What’s going to be like after.
00;10;18;14 – 00;10;19;23
The race. I mean, his wedding present.
00;10;19;23 – 00;10;21;16
There won’t be enough corn in the world.
00;10;21;19 – 00;10;40;10
Yeah. Warm enough? Yeah. Looking back at it, I have a market in mind for when Andy and I talked about this last week, and it was. Exactly. Andy, kudos to you. You talked about it, I think. Jim, you actually messaged just afterwards. Yep. On Thursday, July 3rd we had that pot back up to 440 or I think probably some of the shorts were trying to liquidate for the long holiday weekend.
00;10;40;17 – 00;10;55;13
Came back in here Monday and just got after the sell side and settling below that for 30 for the past two days. I mean, I have to think we go test that gap at what, $384 here? On a weekly? I mean, that’s probably next testing point, in my opinion.
00;10;55;16 – 00;11;14;04
Reminds me a lot of when milk goes to like 20 plus dollars, it’s like, well, it’s very it’s over $20. Why can’t like, I can’t keep going higher. Yeah. Can’t. So yeah I wouldn’t count that out for sure. All signs point to more weakness. So now that I’ve said that I probably should buy it with both hands. We’ll see how it goes.
00;11;14;10 – 00;11;15;11
Not yet.
00;11;15;14 – 00;11;22;04
Not yet. But yeah, we’ll see. We have another. We keep our frozen here. We got a couple two, three more charts. We got to look at. Right.
00;11;22;07 – 00;11;22;23
That’s right.
00;11;22;28 – 00;11;33;08
Meanwhile I actually had like several people internally hit me over the last couple of weeks just to say like, hey, what do you think it’d be an oil. Pretty wild, I guess.
00;11;33;08 – 00;11;39;01
Just a quick question for maybe Jim or Jake. So being oil, can you explain to everyone watching what the crush is to get been oil.
00;11;39;03 – 00;11;40;14
The actual numbers?
00;11;40;14 – 00;11;41;22
We’re just being oil derived from.
00;11;41;24 – 00;11;43;10
How do you get buying oil. All right.
00;11;43;10 – 00;12;14;23
So soybean crush pretty important to the feed industry here. And it’s been a lot of talk over the last few years as the capacity of that market continues to grow largely driven by incentives to produce soybean oil. So of course, we know U.S. farmer produces a lot of soybeans. We traditionally have exported about half of our beans as whole beans, and we crush the rest to make soy oil, which goes into veg oil, vegetable oil for cooking and other things like that.
00;12;14;23 – 00;12;42;25
And then the other byproduct is soybean meal, which all of our dairies and other livestock producers are feeding to their animals. Over the last few years, the government has created these incentive packages to make soybean oil more profitable as a feed source, going into renewable diesel production to help out with some of the sustainable fuels and renewable fuel production in the US.
00;12;42;25 – 00;13;07;06
And so what we’re looking at here is a little bit of a response to 45 Z, which was some tax code that made its way through Congress with the big beautiful bill last week, which better outlines what some of those tax credits and subsidies to incentivize soybean oil production will look like going forward for the next few years?
00;13;07;09 – 00;13;34;15
Well, so I think, Jake, to take that a step further, one of the reasons that this chart is being requested frequently over the last few weeks for tech talk, and people are also hitting us from a feed foundation standpoint, wanting to know why Neil stays under significant pressure and why being oil then continued to ramp up here. I’d say, for one, just to explain further there the relationship between meal and oil, because they are both the byproduct of crushing beans.
00;13;34;18 – 00;13;50;24
You often see as one accelerates in price, the other faces pressure. And we’re seeing that with oil and meal. But, Jake, can you help explain those two green candles there in the gaps between them and what is really caused the recent disparity between the two byproducts?
00;13;50;24 – 00;14;21;08
Yeah. So the big jump there, where was that towards the middle of June? We finally got our second draft of proposed blending mandates for renewable fuels. So you’re thinking about ethanol and now renewable diesel and a handful of other renewable fuels. The market had been anticipating a pretty sizable jump from 25 to 26 as far as renewable diesel oil blending into the fuel pipeline goes.
00;14;21;10 – 00;14;51;08
And we finally got some reports from the EPA stating that they were going to jump up that blend by about 65%, I believe, from 25 to 2026. And then there’s another decent jump from 26 to 27 as well. So it gives the market reassurance that the demand for soybean oil will be there and will increase, as it was anticipated to do over the next couple of years.
00;14;51;10 – 00;15;18;01
Now, this is a second draft of proposed blending mandates minimums. I believe it is due to be voted on and finalized in December of this year, so there’s still some uncertainty surrounding that. But again, the the tax code incentivizing growth in this market made its way through Congress and is on the president’s desk now. So that was half of the equation.
00;15;18;01 – 00;15;26;00
And most are feeling very confident that the second half, the actual blending minimums will go through in December. Now.
00;15;26;07 – 00;15;38;02
Very good. Thanks, Jake. All right. So that being said, Cody, Andy, what are we working with here? It’s really forming up to the one gigantic information. Yeah, with a huge gap from the middle of June.
00;15;38;04 – 00;16;02;21
I was thinking the same thing. It’s thinking the exact same thing where my head went was you had sounded like a big government announcement, right? If I’m understanding Jake correctly in in your move here, but the market’s failing to put in a new high after the fact, that seems like a big sign of weakness. And to Cody’s point, you have a lot of unfinished business right here.
00;16;02;23 – 00;16;19;24
And you know we just looked at corn right. And what was once support became resistance. Do we see the exact same thing here or more like right. I’d say this is a tough one because yeah, this is done. This this these two candles really like serve this thing for a bit of a loop, but I’d say like kind of like right here.
00;16;19;26 – 00;16;21;20
Right? I mean, around three quarters, 50.
00;16;21;20 – 00;16;23;04
Bucks, $0.50 per.
00;16;23;04 – 00;16;43;01
Pound, $0.50 a pound, $50 pound. When I talk about. All right. So $0.50 a pound, more or less. It looked like it was making a head and shoulders. Right. And then you have this big, fat government announcement. There it goes. But this to me, it’s just like, that’s a sign of weakness. I mean, when you get this big injection of bull news, that’s obviously not you know, it seems like it wasn’t expected to this degree.
00;16;43;04 – 00;17;01;00
I think about like, farmers family food box program for milk. Yeah. When we got that announcement I mean, I think the commodity doubled. But as soon as, you know, when it started to come out, you had these big gaps that we never looked away or we never looked back. So this one, yeah, this big government, it seems like a big government announcement and the market’s not handling it very well.
00;17;01;00 – 00;17;18;12
So I look at this and say like people got really excited and are now kind of late. The market’s taking a breath and saying like yeah maybe not. So I be concerned about this. Going back to $0.50 when I look at it, this gap unfinished business, lower high, that’s a sign of weakness.
00;17;18;15 – 00;17;23;29
But you said that it’s not voted on yet. So this is just a plan. Like nothing is in stone. Right?
00;17;24;06 – 00;17;47;06
Right. Yeah. The final blending numbers will be voted on in December is what I understand now. I think part of this, if you look at a little longer term chart, $0.50 is still a pretty, significant price hike. Over the last handful of years, you had a very big jump back during Covid with lockdowns and some humanitarian concerns in Southeast Asia.
00;17;47;06 – 00;18;06;02
As far as palm oil production goes, that jumped up vegetable oil to those highs that you see there. But again, as you said, you got a big government announcement and price was nearly doubled. This effectively does double price versus what we had 2020 in prior. A lot of it was maybe built into the market leading up to this.
00;18;06;02 – 00;18;06;21
And I think that’s.
00;18;06;22 – 00;18;12;18
Okay because this is this was at about $0.25. So taking it to $0.50 to your point would be doubling it.
00;18;12;21 – 00;18;50;02
Yeah. And I think to Jake’s point, you get into the beginning of 2022 when we had also then you have Black Sea conflict starting to restrict the access to alternative vegetable oils like sunflower oil. You also had the packages passed in 2022 during the Biden administration. In terms of the inflation reduction Act and other the green energy initiatives that really promoted stronger use of being oil, the state of California really promoting its program to utilize renewable diesel and replace all legacy diesel fuel in their semi trucks.
00;18;50;02 – 00;19;10;05
But as you’ve noted, Andy, at some point the market starts to digest that and starts to consolidate and bring things back to normal a little bit. We did for quite some time. I think time will tell here over what Jake discussed in terms of that EPA proposal. A few weeks ago. If we can maintain the strength that that created in that gap higher.
00;19;10;06 – 00;19;39;15
I think the important takeaway from this for a feed buyer is that soybean oil now becomes the primary product of soy crushing, rather than maybe one A and one B versus soybean meal. It is very much the front runner leading profitability of these crush plants, and should increase availability and suppress price of the feed ingredients of of soybean meal, canola meal and some of those other related proteins.
00;19;39;20 – 00;19;40;10
Copy it up.
00;19;40;16 – 00;19;41;05
Awesome.
00;19;41;08 – 00;20;01;15
I was just going to say $0.50. $0.50 is just seems like just a gigantic number for this market without knowing anything. What you guys just talked about from like a fundamental standpoint, this is like as soon as the market cleared that price, it took my gosh, how far? And I have to like scroll back. That’s really Q1 of 21.
00;20;01;23 – 00;20;20;29
We weren’t able to break through that price effectively until basically Christmas of 23. So but my point is, is that the market I think you could argue this is only a touch point to a longer term basis right here. So one, this is a big rejection of that. And then finally broke through it and then lose one to 3 to 4 tries.
00;20;20;29 – 00;20;41;11
We finally got through it. So this reminds me a lot of what we just looked at with corn. Just the opposite. Right. This this feels like it’s going to go test that. I think in like the technical terms it’s called a throwback where like there’s pullbacks and then there’s throwbacks or like I know I could have these mixed up, but basically like a throwback is when you break through resistance and then you go test it and like a pullback is like the inverse of that.
00;20;41;13 – 00;21;01;18
Like I said, that could be have those backwards tomato tomato whatever. But to me this is what this that’s what we’re de for right. Again we looked at the lower high on a daily. You’ve got one two, three testing of that. If you can’t break through that price and start to go, yikes. Because you would need like really what you’d be looking for is a break to that price.
00;21;01;18 – 00;21;03;22
And then they can start talking about $0.40.
00;21;03;26 – 00;21;17;27
And I think then to Jake, to your point, if we do break down towards $0.40 again, we probably see some support in the soybean meal market as well and see protein levels start to find some renewed strength. If you start to see that swift of a break and it’s fellow by product.
00;21;18;01 – 00;21;34;27
This is it’s like dinnertime for this thing. What’s this high right here, by the way hanging this high is 5581. Double a little over double nickel cash. If you got like a 56, settle on this thing and fail to go test $0.50, that’s a $0.70. Yikes. Worth.
00;21;35;00 – 00;21;36;01
Throwback Thursday.
00;21;36;01 – 00;21;50;01
Throwback Thursday. We’ll go back Tuesday. Throwback Thursday. Let’s go now. Let’s go. All right. Last last one came from our esteemed colleague here by the way. I mean with that shirt I don’t know how you can’t call yourself a by the way.
00;21;50;03 – 00;21;51;04
You feel.
00;21;51;04 – 00;21;56;01
Very. Your first name is Cody. It’s not, like, coded for us or something like that. Or like that’s what I know.
00;21;56;01 – 00;21;56;20
So Denver is.
00;21;56;20 – 00;21;58;05
Like, my first name is Andrew.
00;21;58;10 – 00;21;58;22
Right?
00;21;58;22 – 00;22;03;11
Oh, you know, I feel like you should be going by, like, whatever your full first name is in that.
00;22;03;13 – 00;22;04;14
Mine’s Jennifer’s or.
00;22;04;20 – 00;22;07;07
Jennifer’s gym. It like, I always thought it was jimothy.
00;22;07;07 – 00;22;08;06
When something new.
00;22;08;08 – 00;22;17;07
Yeah, I learned something there. Anyways, speaking of heating oil, you want to talk about heating oil and it’s relevant to buyers. How? Start there.
00;22;17;10 – 00;22;40;22
Well, I mean I think what we were looking at is equating this. A lot of times we equate this to the diesel contract. Sorry to look at diesel we’re getting into, as Jake mentions in the harvest coming up in the next month or so, going to run through probably the end of October ish throughout the country. And usually, I mean, kind of looking back around the same time frames where we see a little bit of a pop and like when people start traveling, the gas prices get higher, diesel gets a little bit more expensive.
00;22;40;22 – 00;22;57;22
People might have hedged it before, people might have not have. But I just thought it was very interesting that not even a month ago, I mean, literally three weeks ago, we jumped from we fell from 260 down to 220 and have made our way back 50% on that. Sit in here on the 8th of July.
00;22;57;23 – 00;22;58;20
This is a day like it’s a.
00;22;58;20 – 00;23;14;15
Massive swing like this. When you look at it, when you have on your screen, it looks like a weekly chart. But this is a daily chart with just the volatility that we’ve seen in this market recently has been pretty massive so far. I’ve had a lot of guys call in asking about it, I think because harvest is right in front of us.
00;23;14;15 – 00;23;34;11
And the date on that, that one green candle that really starts to send us up, I mean, this this is going to be tied towards the escalation of things in Israel and Iran and us ultimately performing a successful bombing campaign in Iran. And you saw energy prices really take off their work. Oh that’s.
00;23;34;11 – 00;23;37;05
Right. What was that? Hang on, let’s just.
00;23;37;05 – 00;23;40;07
Go take a look like the 13th or which.
00;23;40;07 – 00;23;45;27
This is crude. I remember that because it came well today I. Yeah. Right there. Yep. So it’s the 13th.
00;23;46;02 – 00;24;07;10
And you see a similar meltdown in crude oil pricing having its strength extinguished there. And then heating oil. Right. Both coming after the Iranians retaliated, if you will, on our base in Qatar. And then ultimately deciding that for the moment things have settled and you really saw energy prices across the complex pullback fairly dramatically there.
00;24;07;17 – 00;24;24;22
Yeah, yeah. What sticks out to me is what we just talked about with some of the others is I do this while you guys watch chatting there right here it’s 212 and some change to 12.5. I mean roughly that’s more or less where this market caught support. Once it broke through it. It bounced once, twice, made a nice higher low right right here.
00;24;24;25 – 00;24;44;22
So you could argue that I think the name is, an ascending triangle right here. And so it failed to go test that, right. Yep. Like this to me. Like I look at this and say this is more important here. I mean, I feel like when you look at this chart, what sticks out is it’s easy to go look at this, this I mean, look at this.
00;24;44;22 – 00;25;05;02
That’s just like a beast of a candle. It’s ridiculous. But with six out to me here is this this three bar pattern right here. Because it’s a clear failure to go test this. What was once resistance. Right. And so the fact that you can’t even get a good testing of that like, to me, it’s I think this like I always butcher the expression, but it’s never the first trip to a price that scares people.
00;25;05;02 – 00;25;21;24
It’s the second or third. That’s what I think would be kind of worse of this market is if what if like, what happens if this thing gradually makes its way back to 250 because you failed to go put in, you failed to go test to support the market, got the news, took off, shrugged it off, and is now building on that three bar pattern right there.
00;25;21;27 – 00;25;39;28
This is what sticks out to me the most, right? Bam. Right there had the momentum. If you just look at it to have the momentum to break. Buyers looked at that and said, I don’t think so, dude. And right back up, that is a sign of strength. So yeah, I guess my question would be what if what if this contract went back to 250 2.5?
00;25;40;03 – 00;25;52;03
I think, you know, we’re talking about margins. You want to talk about a big margin proponent would be diesel on farm right. For no matter who it is that could be a big gut shot going back to 52 six.
00;25;52;05 – 00;26;15;03
I agree this thing looks this looks strong. And again, it’s hard to look at this without being like oh my gosh, look at this candle right here. Yeah. But you’ve had a really nice space that got built right here. Here. Broke through what was clear resistance and then failed to go test it on our on retracing that, breakout.
00;26;15;06 – 00;26;42;13
Let’s go take a quick look. We’ll pick ski. Yeah. Like, I’ll tell you what sticks out to me. Let’s just do this real fast. Oh, yeah. All long term. Very long term trend gets broken. Tries to come back in, fails to maintain like the like the throw back in there. That’s a breakout. You know that’s a breakout.
00;26;42;16 – 00;26;43;13
Yes it is.
00;26;43;15 – 00;27;02;14
Out tested it and is and is back out of it again. That’s all I want to say this a Tuesday all day right. Throwback Tuesday. That’s right. Sorry throwback to set. So we still have a whole week for the spa but that looks strong I would not be like kind of I don’t know I don’t know what the word is like intimidated or like like you look at the spa like, oh my god, look at that.
00;27;02;16 – 00;27;14;19
This is to me, the biggest concern is that you got out of a very long term downtrend and are maintaining that okay. So I have a question. Go for it. Mancilla. It’s I think it’s a kind of an ancillary question. I will say I don’t.
00;27;14;19 – 00;27;16;17
Know what that means, but sounds interesting.
00;27;16;17 – 00;27;19;17
So, Cody, would you rather be a bond villain or bond himself?
00;27;19;24 – 00;27;21;00
Oh man, bond himself.
00;27;21;01 – 00;27;22;29
He said that pretty quickly, like you’ve thought about before.
00;27;22;29 – 00;27;32;25
Yeah, I don’t know. What is Bond’s greatest villain himself. Yeah, I think so, I think so, my own greatest enemy is myself.
00;27;32;27 – 00;27;33;12
What.
00;27;33;14 – 00;27;36;07
Like that’s just deep in deep it. Have a rag.
00;27;36;10 – 00;27;37;07
That is very.
00;27;37;07 – 00;27;45;06
Very deep. Yeah. I feel I feel like I’m in the trash tree. Well, River rag doesn’t work out for me. I can also become a villain of something abandoned.
00;27;45;08 – 00;27;46;06
Yeah.
00;27;46;08 – 00;27;51;02
That sounds like a threat when you get a compliance person involved in these shows.
00;27;51;03 – 00;27;56;29
Green a green villain to anyone living in Wichita, Kansas. Oh wow. And fired.
00;27;56;29 – 00;28;02;05
And you’re fired. That’s all I got guys I appreciate it. Like I like some new adjectives.
00;28;02;06 – 00;28;03;11
Name me too.
00;28;03;15 – 00;28;05;17
I learned I need to update my wardrobe. By the way.
00;28;05;23 – 00;28;20;02
You got to. Yeah, I’ve had bad, bad in the closet for a little bit of time. Just wondering when the right moment would be to pull it out. And this is. Wow. You can grab the lapels. Oh yeah. I might actually get like an actual suit or maybe an actual tuxedo. Next time you do a Jake and I do wear the same shirt every day.
00;28;20;04 – 00;28;30;14
I’ve never seen you guys without shirts on. Oh, yeah, I think I’m gonna be a snap guy from now on. I made that decision January 1st. That hasn’t come to fruition. I’m a real snap guy now, and I’m going to get a bolo tie.
00;28;30;16 – 00;28;31;22
New year’s resolution.
00;28;31;24 – 00;28;47;27
Rage likes that. We’re still talking. I bet she likes that. She really likes her. And Lexi are shaking their heads. Awesome. All right. Well with that everyone, we appreciate you guys watching this mashup of tech talking green feed Jake and Jim. As always, we love having you guys on here. We hope everyone got as much information as I did out of this episode.
00;28;48;03 – 00;29;05;10
If you have not already, and you do like the information coming out of every org, please hit the subscribe button, give us a thumbs up, leave us a comment. What? Andy nine. Know what you want to look at on text. Oh snap to take a peek at it every week while we do these shows. This week, I think probably because the fourth we didn’t have a whole lot of folks writing in.
00;29;05;10 – 00;29;22;00
We don’t have anyone writing in this week to look at any charts, but we appreciate you all tuning in. Jake and Jim, again, thank you for being on here. Paige. Lexi, thank you for pulling all the levers, pushing all the buttons, making sure we didn’t say anything to get ourselves fired with that. Ever. Have a great week. We’ll see you guys next time.
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