
Live Cattle
Technicals (December – Z)
December live cattle futures traded on both sides of unchanged on Friday but ultimately finished the day lower. All in all, there wasn’t any technical damage done though as prices remain stuck in the old gap from October 23rd. If the Bulls can chew through and close above last week’s high, we could see a continuation of the relief rally towards the 50-day moving average, 186.27. We are leaning towards the Bearish side at these levels.
Friday’s Commitment of Traders report showed continue long liquidation with the Managed Money net long position now at 56,402 futures and options contracts, the smallest net long position since last November.
Resistance: 186.275**
Pivot: 184.625 -185.00
Support: 182.00-182.50***, 175.85-176.55***

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.

Feeder Cattle
Technicals (January – F)
January feeder cattle futures had a strong rally on Thursday but fell flat on Friday as the market struggled in our resistance pocket from 242.32-243.05. This pocket represents the gap from October 23rd. If the Bulls can chew through and close above this pocket, we could see additional relief propel prices higher. A failure keeps the Bears in control of the near-term chart.
Friday’s Commitment of Traders report showed Managed Money holding a net long position of 735 futures and options contracts, the smallest position since February.
Resistance: 242.32-243.05***, 244.65**, 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.

Lean Hogs
Technicals (December – Z)
December lean hog futures rallied up near the 100-day moving average on Friday but fell flat and retreated to finish the day 1.52 lower, which happened to be near the 50-day moving average. We expect the choppiness to continue which could present some good shorter term opportuniteis on both sides of the market.
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.
