Corn Breaks Diamond to the Downside – Sell Signal Confirmed

In today’s technical analysis, let’s return to corn, which we previously analysed on the 10th of December. At that time, we identified a diamond formation—a pattern that is not very common, but historically very reliable when it appears. We highlighted that price was approaching the end of the structure, meaning a breakout was imminent and only a matter of time.

That breakout finally arrived on Friday, and it was both decisive and directional. Corn escaped from the diamond formation to the downside, confirming the bearish scenario. This breakout activates a proper sell signal, validating the bearish outlook discussed earlier. The move was strong enough to eliminate any doubt about direction.

The next logical target now lies at the green horizontal support, which previously acted as resistance in the middle of September and also aligns perfectly with the low of the diamond formation. Given the strength of the breakout and the clean technical structure, chances of reaching this level are high, and sentiment on corn remains clearly negative as long as price stays below the broken structure.

Source: https://www.axiory.com/analytics/technical-analysis/corn-breaks-diamond-to-the-downside-sell-signal-co