TheCropSite.com- news, features, articles and disease information for the crop industry

News

Wyckoff's Closing Grains: Corn Closes Lower

13 February 2014
Jim Wyckoff Commentary -  TheCropSite

US - March corn futures closed down 1 3/4 cents at $4.39 3/4 Wednesday.

Prices closed nearer the session low today on some more downside corrective pressure after hitting a three-month high on Monday. Corn prices are still in a four-week-old uptrend on the daily bar chart to suggest that a major market low is in place. However, the bulls need to show some fresh power soon to keep their upside technical momentum. Corn bears still have the overall near-term technical advantage.

Corn bulls' next upside price objective is to push and close prices above solid technical resistance at $4.50. The next downside price breakout objective for the bears is pushing and closing prices below solid support at $4.30. First resistance for March corn is seen at $4.44 and then at last week’s high of $4.47 1/2. First support is seen at this week’s low of $4.37 1/4 and then at $4.35. Wyckoff's Market Rating: 3.0

March soybeans closed down 11 cents at $13.23 3/4 a bushel Wednesday. Prices closed nearer the session low. Bulls have the overall near-term technical advantage. However, there is very stiff overhead resistance at this week’s high of $13.40. Bulls will have to overcome that level in order to gain fresh technical power.

The next near-term upside technical breakout objective for the soybean bulls is pushing and closing prices above solid technical resistance at $13.40 a bushel. The next downside price breakout objective for the bears is pushing prices below solid technical support at $13.00. First resistance is seen at $13.30 1/2 and then at $13.40. First support is seen at this week’s low of $13.12 and then at $13.00. Wyckoff's Market Rating: 6.0.

March soybean meal closed down $5.40 at $443.80 Wednesday. Prices closed nearer the session low and did hit another contract high today. Profit taking was featured. Bulls still have the solid near-term technical advantage.

The next upside price breakout objective for the bulls is to produce a close above solid technical resistance at $465.00. The next downside price breakout objective for the bears is pushing and closing prices below solid technical support at $430.00. First resistance comes in at $450.00 and then at today’s contract high of $452.90. First support is seen at $440.00 and then at this week’s low of $438.10. Wyckoff's Market Rating: 7.5

March bean oil closed up 14 points at 38.99 cents Wednesday. Prices closed near mid-range and hit a six-week high on more short covering. Recent price action suggests a major market low is in place. The bean oil bears do still have the overall near-term technical advantage. The next upside price breakout objective for the bean oil bulls is pushing and closing prices above solid technical resistance at 40.00 cents.

Bean oil bears' next downside technical price breakout objective is pushing and closing prices below solid technical support at the contract low of 36.80 cents. First resistance is seen at today’s high of 39.40 cents and then at 39.50 cents. First support is seen at today’s low of 38.68 cents and then at this week’s low of 38.47 cents. Wyckoff's Market Rating: 3.0

March Chicago SRW wheat closed down 4 1/4 cents at $5.86 Wednesday. Prices closed near the session low today after hitting a five-week high early on today. Bulls have gained upside near-term technical momentum to begin to suggest that a major market low is in place. But right now the wheat bears still have the overall near-term technical advantage. Wheat bulls’ next upside breakout objective is to push and close Chicago SRW prices above solid technical resistance at $6.00 a bushel.

The next downside price breakout objective for the wheat futures bears is pushing and closing prices below solid technical support at the contract low of $5.50 1/4. First resistance is seen at last week’s high of $5.88 3/4 and then at today’s high of $5.98 1/4. First support lies at $5.80 and then at $5.75. Wyckoff's Market Rating: 2.5.

March HRW wheat closed down 2 3/4 cents at $6.62 3/4 Wednesday. Prices closed nearer the session low after hitting another seven-week high today. Prices also scored a mildly bearish “outside day” down on the daily bar chart. Recent price action is a solid clue that a major market low is in place.

But right now the wheat bears still have the overall near-term technical advantage. Bulls’ next upside price breakout objective is pushing and closing prices above solid technical resistance at $7.00. The bears' next downside breakout objective is pushing and closing prices below solid technical support at $6.25. First resistance is seen at today’s high of $6.71 1/2 and then at $6.75. First support is seen at today’s low of $6.59 1/4 and then at $6.51. Wyckoff's Market Rating: 3.5

March oats closed down 18 1/4 cents at $4.19 Wednesday. Prices closed near the session low. Monday’s price action confirmed a bearish “key reversal down” on the daily bar chart. That is a solid clue that a market top is in place. But right now the bulls have the overall near-term technical advantage.

Prices are in a four-month-old uptrend on the daily bar chart. Bears' next downside price breakout objective is pushing and closing prices below solid technical support at $4.00. Bulls' next upside price breakout objective is pushing and closing prices above solid technical resistance at Friday’s contract high of $4.67 1/4. First support lies at this week’s low of $4.16 1/2 and then at $4.10. First resistance is seen at $4.25 and then at $4.30 Wyckoff's Market Rating: 7.0

TheCropSite News Desk

IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any traders and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature.

Here is what the Commodity Futures Trading Commission (CFTC) has said about futures trading (and I agree 100%): 1. Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you.



Our Sponsors

Partners


Seasonal Picks

Country Dance