It’s a mixed morning in the grain markets with corn and wheat lower while soybeans have reclaimed ground and are trading in positive territory.
Corn
News
- Due to Columbus Day yesterday, weekly export inspections and crop progress will be out today. Export sales will be out on Friday.
- Thursday’s USDA report is scheduled to be released at 11am CT. The average analyst estimate for the US corn yield is 173.5 bushels per acre, that would be down from 173.8 in last month’s report. The average production estimate comes in at 15.121 billion bushels.
Technicals (December)
December corn futures are working lower in the early morning trade, erasing all of the gains from Friday’s attempted breakout move. The Bulls need to see a close out above 489-491 to prevent a retest of the lower end of the trading range, 472-476. The weaker price action over the last two and a half sessions has moved our bias to Neutral/Bullish, aka cautiously optimistic.
Bias: Neutral/Bullish
Resistance: 502-506 1/2***, 511 1/4**
Pivot: 489-491
Support: 472-476***, 460-464 1/2**
Seasonal Tendencies
Below is a look at historical seasonalities (updated each Monday) VS today’s prices (black line).
*Past performance is not necessarily indicative of futures results.
Soybeans
News
- Due to Columbus Day yesterday, weekly export inspections and crop progress will be out today. Export sales will be out on Friday.
- Thursday’s USDA report is scheduled to be released at 11am CT. The average analyst estimate for the US soybean yield is 49.9 bushels per acre, that would be down from 50.1 in last month’s report. The average production estimate comes in at 4.134 billion bushels.
Technicals (November)
Soybeans are making new lows for the move in the early morning session as prices dip further into our support pocket from 1247-1257. We liked this support pocket on the first test but the more times we visit this pocket the less conviction there is that it will hold. A failure to defend this support pocket could spur additional selling pressure and potentially flip Funds from a small net long position to a net short position.
Bias: Neutral
Resistance: 1300-1308 1/2***, 1322-1328****
Pivot: 1280-1285
Support: 1247-1257***, 1195-1200**
Seasonal Tendencies
Below is a look at seasonal averages VS this year’s price (black line) for November soybeans (updated each Monday).
*Past performance is not necessarily indicative of futures results.
Wheat
News
- Friday’s Commitment of Traders report showed Managed funds increased their bearish bets by increasing their net-short position to 98,788 contracts. That comes out to 70,744 long positions compared to 169,532 short positions.
Technicals (December)
Wheat futures traded higher early yesterday but fizzled out as the market ran out of momentum against last week’s highs and trendline resistance.
Bias: Neutral/Bullish
Resistance: 585-587**, 595-599 1/2***, 612-616****
Pivot: 570
Support: 540-541 1/2**
Seasonal Tendencies
Below is a look at seasonal averages VS this year’s price (black line) for December wheat (updated each Monday).
*Past performance is not necessarily indicative of futures results.
