Soybean Export Sales 1,038,000 Metric Tons, Another Strong Number

Grain futures market update

Grain futures market update

Corn Futures (December)
 

Fundamentals: Export sales this morning came in at 494,000 metric tons, a bit of a disappointment from last week's number. There hasn’t been much new news to move the market, but we expect to start hearing more on yields as harvest ramps up over the coming weeks.

Techncials: Corn has been a stick in the mud at 375 +/- a few cents. We wish there was more to say, but nothing has changed on the technicals all week. Consolidation has been the theme over the last week. First resistance remains intact from 377-381, this pocket represents a key retracement and the top of the range after breaking down last month. If the bulls can achieve consecutive closes above here, we could see prices march towards the gap at 392 ¾. On the support side of things, the bulls need to defend 363-366. A break and close below here would neutralize our Bullish bias.

Bias: Bullish

Previous Session Bias: Bullish

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Soybeans Futures (November)

Fundamentals: Export sales came in at 1,038,000 metric tons, another strong number. This is the second week of strong numbers, but three makes a trend. Outside of that there hasn’t’ been a lot of new news to report. Weather continues to be a bit of a wild card as the chance of a frost is not entirely ruled out and probably underpriced in by the market.

Technicals: Beans continue to hold ground in the 880’s, a positive sign for the pull camp. If the markets start working out above 900 we could see another wave of short-covering take us towards 912-915 ¼, this pocket represents the 200-day moving average and the 50% retracement, or the middle of the range from contract highs to contract lows. Our bias remains outright Bullish.

Bias: Bullish

Previous Session Bias: Bullish

 

Wheat Futures (December)

Chicago Wheat (December)

Fundamentals: Export sales this morning came in at 283,200 metric tons, a rather blah number. Despite that, the market is firming up. We continue to be favorable wheat based on positive technicals but believe there is more value in the Kansas City contract.

Technicals: higher lows and higher highs have been the trend over the last month, so long as the bulls defend 469 ½-470 they remain in control. A move out above 492 ½ would mark higher highs and potentially spark a run back above the technically and psychologically significant $5.00 handle.

Bias: Neutral/Bullish

Previous Session Bias: Neutral/Bullish

 

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