The major (long-term) trend of the Brazilian real (BRLUSD) remains sideways, with support at the low of 0.16756 (May 2020) and resistance 0.20739 (June 2020). As expected, the real took out its previous 4-month high during February, a bullish momentum indicator, setting a new high for this upswing of 0.20012. The next high target is 0.20413 from June 2021, then the previously mentioned long-term high.
At this time, I don’t think the world’s largest soybean buyer will be looking at the value of domestic currencies, but rather looking for a supplier who actually has supplies. As my monthly available stocks-to-use calculation of 0.2% shows, US soybean available supplies are at or near record tight levels.
