Grain markets were lower overnight but are working their way back into positive territory this morning.
Corn
Technicals (December)
Corn futures continue to be a stick in the mud near 480. The day-to-day ranges have narrowed which may be indicative of a market that’s building up energy for a bigger directional move. Support and resistance levels from yesterday’s report remain intact for today’s trade.
Bias: Bearish/Neutral
Resistance: 499-502 1/2****, 511 1/4**
Pivot: 489-491
Support:Â 472-476***, 460-464 1/2**
Seasonal Tendencies
Below is a look at historical seasonal averages (updated each Monday) VS today’s prices (black line).
*Past performance is not necessarily indicative of futures results.
Soybeans
Technicals (January)
January soybean futures rejected our 4-star resistance pocket yesterday, which we outlined as 1324-1336. This is a wider pocket than we’d typically like to use, but there’s a ton of significance within it. Yesterday morning we wrote that “a failure at these levels could pressure prices back the technically and psychologically significant $13.00 level.”. That was achieved in the overnight session. A break and close below that level could accelerate the selling pressure. With that said, we would likely look at a bigger break to 1270 as a potential buying opportunity on the first test.
Bias: Neutral
Resistance: 1324-1336****, 1360**
Pivot: 1299 3/4-1303
Support: 1270****, 1247-1257**
Seasonal Tendencies
Below is a look at historical 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
Technicals (December)
December Chicago wheat futures are sliding lower in the early morning trade which keeps the door open for a retest of the September low, 540. 568 1/2-570 is the first hurdle the Bulls need to get back out above.
Bias: Neutral
Resistance: 588-592***, 601 3/4-604 1/2***
Pivot: 568 1/2–570
Support:Â 540-547 1/2***
Seasonal Tendencies
Below is a look at historical seasonal averages VS this year’s price (black line) for December wheat (updated each Monday).
*Past performance is not necessarily indicative of futures results.
