Cattle futures continued to climb higher in the early morning trade, but is the upside limited from these levels?
Live Cattle
Technicals (December – Z)
December live cattle futures were able to squeak out a bother day of gains but the gap from 183.65-184.625 is proving to be pretty stiff resistance. As mentioned in this week’s reports: If you have a bearish bias, this may be a pocket to consider looking to the short side. If you had been long, this may be a pocket to consider reducing.
Resistance: 183.65-184.625****
Pivot: 182.00-182.50
Support: 175.85-176.55***, 172.80-172.90**
Check out yesterday’s 2-Minute Drill, breaking down the technical landscape for February live cattle futures:
Seasonal Tendencies
Below is a look at historical seasonality’s (updated each Monday) VS today’s prices (black line).
*Past performance is not necessarily indicative of futures results.Â
Feeder Cattle
Technicals (January – F)
January feeder cattle futures continued to grind higher in yesterday’s trade. The recent relief rally has been peanuts relative to the selloff we saw through the month of October. Typically, you’d like to see buyers more excited to step in after such a sharp move lower and then consolidation. The Bulls want/need to see a close above 239-240 to spark that bigger relief rally.
Resistance: 242.32-243.05***, 246.42
Pivot: 239-240
Support: 233.37-234.95***, 229.00-229.50**
Seasonal Tendencies
Below is a look at historical seasonality’s (updated each Monday) VS today’s prices (black line).
*Past performance is not necessarily indicative of futures results.Â
Lean Hogs
Technicals (December – Z)
December lean hogs traded right into our resistance pocket yesterday which we had outlined in recent reports as 71.92-72.10. We noted in recent reports that the market may look to catch it’s breath near this pocket and a failure to breakout above it could lead to a retracement of recent gains. That has so far played out with futures reversing lower yesterday, back into our pivot pocket from 70.00-70.25. A failure to defend the pivot pocket could lead to additional weakness.
Resistance: 71.92-72.10***, 74.00-74.500***
Pivot: 70.00-70.25
Support: 67.32-67.80***, 65.40-65.67**
Seasonal Tendencies
Below is a look at historical seasonality’s (updated each Monday) VS today’s prices (black line).
*Past performance is not necessarily indicative of futures results.Â
