Technical Analysis: LFEX DataSalmon Miami FoB ‘D’Trim Index, 24th February 2023

David Nye - The London Fish Exchange

Published: 27th February 2023

This Article was Written by: David Nye - The London Fish Exchange

  

The Miami FoB weekly Index is continuing to rally. The Index price is above the green trendline and above the $6.92 resistance line. It appears the Index is heading to $7.26 resistance level next.

I see several things pointing at the $7.63 resistance zone as a “probable” target. The Composite Index has started to curl over just below its all-time highs at the far left of the chart. This could be a sign that the price increase is losing some strength in the short term. The Composite Index is at a high displacement in its history. As mentioned in the last few weeks updates, at some point the Composite Index will need to correct and reset at a lower level and attempt another rally. The ultimate high in prices usually do not happen at these displacements in the Composite Index. Notice the green and grey trendlines lines on the Composite Index. When these lines cross there is usually an acceleration or change in trend for the security.

The crossover appears to be near the mid to late April 2023. The RSI is also continuing to climb and is also at a very high displacement in its history. The RSI has not made a high at its current displacement in the chart history. It appears the RSI rally can continue. As mentioned last week, notice the grey and green trendlines crossing over on the RSI. Like the trendline crossover on the Composite Index, I’d expect a change or acceleration of trend. The crossover appears to be March 3rd.

  About This Analysis

About David Nye

David is a Senior Vice President in investment advisory with over 30 years of experience.

Based in Minnesota, USA he has a long history in technical analysis across a range of markets. David brings his experience to provide an independent insight into potential salmon pricing based on LFEX and DataSalmon data.

What is Technical Analysis?

Technical Analysis is used to try and identify price trends in the future. Analysts believe that by using factual past information (trading activity and price changes) it is possible to identify future price movement trends and is quite prevalent in commodity and forex markets but can be applied to any product.

Technical Analysis has been developing for over a century, and there are now hundreds of patterns and signals that have been created. They are often used in conjunction with other forms of research and analysis to help formulate, or support pricing trend opinions.

Purpose of the Analysis?

To provide an independent data-driven view of market pricing trends in the short and medium-term. As a potential tool, for users to access future pricing trends based on LFEX/DataSalmon derived market data.

How Does it Work?

On a regular basis (weekly), David will provide his independent analysis of LFEX and DataSalmon pricing data. The output will be to provide pricing trends based on the most up to date pricing received.

The analysis will show the expected trends and potential (price) levels, as well as other markers – for example, higher or lower price triggers that would affect the analysis of the trend – and what this might mean. It is data-driven, and will not, and does not, account for any other fundamental analysis, or weather or biological events for example. This is the same for any commodity product technical analysis.

Disclaimer

All information provided contains no guarantee whatsoever, especially of completeness, accuracy, timeliness or of the results obtained from the use of this information, and is provided without warranty of any kind, expressly or implied. In no event will, LFEX Ltd or DataSalmon, its member firms, or the partners, directors, officers, owners, agents or employees thereof be liable to you or anyone else for any decision made or action taken in reliance on the information or for any consequential, special or similar damages, even if advised of the possibility of such damages. In no event and under no legal or equitable theory, whether in tort, contract, strict liability or otherwise, shall LFEX Ltd or DataSalmon be liable for any direct, indirect, special, incidental or consequential damages arising out of any use of the information contained herein, including, without limitation, damages for lost profits, loss of goodwill, loss of data, work stoppage, the accuracy of results, or computer failure or malfunction