On the daily chart FCATTLE: D1 shows sluggish growth having hit a fresh 3-year low last month. The MACD and Parabolic has not reversed up yet and are still giving signals to sell. But the Bollinger bands have narrowed so much that strong price movements are possible amid extremely low volatility.

RSI is being above 50. Previously it has formed positive divergence which has not developed yet in our opinion. The bullish momentum may develop in case the beef prices surpass the last fractal high, the Bollinger band and the Parabolic signal at 146. This level may serve the point of entry.

The initial stop-loss may be placed below the 3-year low at 134. Having opened the pending order we shall move the stop to the next fractal low following the Parabolic and Bollinger signals. Thus, we are changing the probable profit/loss ratio to the break-even point.

The most risk-averse traders may switch to the 4-hour chart after the trade and place there a stop-loss moving it in the direction of the trade.

If the price meets the stop-loss level at 134 without reaching the order at 146, we recommend cancelling the position: the market sustains internal changes which were not taken into account.