Corn, soybeans at support, while wheat sees strength

Grains and oilseeds report

Corn bin Corn bin

Corn: Right now the weather news appears to be enough to press this corn down to support, but at the same time we saw support just where it was expected. Early on in the day on Monday, large selling pressed corn within 3/4 of a penny from support just to see it hold the rest of the day. What was also impressive is that corn held this support while beans spent most of the day continuing to sell off.

This leads us to believe that the sideways range can continue holding. If 732-1/4 support is taken out, the next support would be 705. We look for a “turnaround-Tuesday” bounce followed by more range trade leading into Friday’s report…Ryan Ettner

Soybeans: Beans are currently 93% harvested and could be looked at as mostly done. Tuesday’s trade will be focused on the election and could be light volume once again. The January contract has fallen 57 cents in the last two days and has support on the charts at these levels…Steve Georgy
 
Wheat: We are seeing some strength in the back month contracts because we are rated poorly but we need to keep in mind that fall ratings are not as important as spring rains in yield determination. Continue to look for higher trending markets in the back months and use this rally to hedge bushels and sideways trade in the nearby contracts…Cordon Sroka

About the Author

Ryan Ettner is a registered commodities broker and grains analyst at Allendale, Inc. Steve Georgy is a Sr. Broker/Manager at Allendale, Inc. Jim McCormick is Senior Broker/Manager at Allendale, Inc. Allendale is registered with the CFTC and NFA and is a member of the NIBA. www.allendale-inc.com

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