Technical Analysis: LFEX Norway Exporters Salmon Index, 10th March 2023

David Nye - The London Fish Exchange

Published: 13th March 2023

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

  

The Oslo FoB Index is breaking out of its most recent price consolidation into new all-time highs. The Oslo FoB Index appears to be heading towards the 135.36 NOK resistance area.

I drew a green upward sloping trendline that should act as resistance for price along with the red dashed horizontal lines. I updated the green horizontal price support lines below the Index’s current price. The width of the line represents the width of the zone and is not meant to imply a stronger support zone. The bullish view on the Oslo FoB Index is the Index is breaking into new all-time highs. This implies a much larger move higher could be developing in the long-term view. The Composite Index bounced off the grey support line and appears to be heading towards the negative crossover of its moving averages. I’ve covered this setup many times in these updates, and I won’t go into a long explanation in this update.

This could be a bullish move up for the Composite Index but usually when an oscillator tests its negative or positive crossover of its moving averages and reacts, a strong move usually follows. There is a purple trendline just above the Composite Index displacement that could also act as resistance. The RSI is testing the negative crossover of its moving averages. Both oscillators have history at their current displacements. I drew red horizontal dashed lines to help you see what has happened at this displacement for each oscillator.

  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