Livestock futures were sharply higher last week, will that momentum carry over into this week’s trade?

Live Cattle
Technicals (April- J)
April live cattle futures continued to run higher into the weekend, marking new highs for the move, which takes us back to levels not seen since the first week of November. That brings the RSI to 71.75, the highest levels since September.
Friday’s daily livestock summary showed the 5-area average price for live steers at 175.39. Daly slaughter was reported at 121,000 head, that put week to date totals at 613k head, about 30k more than the previous week but about 9k less than the same period last year.
Resistance: 182.60**, 184.65-185.00***
Pivot: 180.72-180.95
Support: 177.875-178.175***, 175.70-176.40***

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.

Commitment of Traders Snapshot
(updated on Mondays)
Friday’s Commitment of Traders report showed Managed Money positioning was little changed from the previous week, holding a net long position of 13,410 futures/options contracts.

Feeder Cattle
Technicals (March – H)
March feeder cattle futures climbed back to their highest levels since the first week of November. If the Bulls can keep the momentum going to start the week we could see an extension towards the November highs, 244.52-244.57. A break and close back below Friday’s low could spark some profit taking, that comes in at 237.57.
Resistance: 244.50-245.00***
Pivot: 237.57
Support: 234.52-235.75****, 231.975**

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.

Commitment of Traders Snapshot
(updated on Mondays)
Friday’s Commitment of Traders report showed funds were net buyers for the third consecutive week, bringing them closer to positive territory. They are now net short just 1,737 futures and options contracts.

Lean Hogs
Technicals (April- J)
April lean hogs extended the rally on Friday, trading to the highest levels since September. The rally has brought the RSI to the highest level of the contract’s life time.
Resistance: 85.50-86.05****
Pivot: 82.67-82.80
Support: 79.425-80.00***, 78.82-79.00**

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.

Commitment of Traders Snapshot
(updated on Mondays)
Friday’s Commitment of Traders report showed Managed Money trimmed their net short position to just 2,099 futures/options contracts.

Oliver Sloup, VP & Co-Founder, Blue Line Futures