Soybean futures are weaker in the early morning trade following yesterday’s failure against technical resistance as traders look to tie up loose ends ahead of tomorrow’s USDA report.
Corn
News
- Friday’s Quarterly Stocks Estimate
- 1.429 billion bushels
- With Friday being end of month and end of quarter, that may play a role in price action through the remainder of the week.
Technicals (December)
Tired of reading about a rangebound corn market? It’s getting a little old writing about it too. Technical levels remain intact. There continues to be great intraday opportunities on both sides of the market, feel free to reach out to our trade desk for trade ideas.
Bias: Neutral/Bullish
Resistance: 489-491***, 502-506 1/2***
Pivot: 472-476
Support:Â 460-464 1/2**
Seasonal Tendencies
Below is the updated look at historical seasonality’s VS today’s prices (black line).
Soybeans
News
- Friday’s Quarterly Stocks Estimate
- 242 million bushels
- With Friday being end of month and end of quarter, that may play a role in price action through the remainder of the week.
Technicals (November)
Soybean futures traded right to last Thursday’s breakdown point where the market fizzled out, moving our bias back to neutral. The failure to chew through resistance has taken prices back below our pivot pocket 1300-1304. A close back below this pocket keeps the door open for a retest of 1280-1285, below that is 1247-1257.
Bias: Neutral
Resistance: 1322-1328****, 1350-1355***
Pivot: 1300-1304
Support:Â 1280-1285****, 1247-1257***
Seasonal Tendencies
Below is an updated look at seasonal averages for November soybeans. Seasonal tendencies have shown weakness through the back half of September for the 5, 10, 15, 20, and 30 year averages, illustrated in the chart below.
Wheat
News
- Friday’s Quarterly Stocks Estimate
- 1.772 billion bushels
- With Friday being end of month and end of quarter, that may play a role in price action through the remainder of the week.
Technicals (December)
Wheat futures failed to get out above trendline resistance yesterday (see chart below) which may have spurred some selling pressure that took prices back below our pivot pocket from 585-587. Support comes in at 570, which if tested would likely trigger some stops below there.
Bias: Neutral/Bullish
Resistance: 595-599 1/2***, 612-616****
Pivot: 585-587
Support:Â 570**
Seasonal Tendencies
Below is an updated look at seasonal averages for December Chicago wheat. We are inching closer to a seasonal low (based on historical tendencies). Will that play out again this year? TBD.
