Wheat Futures Trade Higher As Fundamentals Point To Hopes Of Improving Demand

Emphasis on money-flow and technicals
Trade rhetoric has fallen flat time and time again
Monitoring harvest progress
Grain futures market update

Grain futures market update

Corn Futures (December)

Fundamentals: Corn futures retreated yesterday morning on the back of harvest pressure, profit-taking and no new news. Due to Columbus Day on Monday, export sales were pushed back to Friday. Price precedes news, we continue to put an emphasis on money-flow and technicals, that will tell the story of how harvest is going.

Technicals: The market pulled back to our pivot pocket near 390, a spot that we wrote about in yesterday’s report saying, “this would be the spot to consider getting that long exposure back on.”. The trend has been higher lows followed by higher highs.....Please sign up for a Free Trial at Blue Line Futures to view our entire technical outlook, actionable bias and proprietary levels emailed out each morning. 

 

Soybeans (November)

Fundamentals: Soybean futures continued to pullback yesterday on a wave of profit-taking as bulls run out of supportive headlines to propel the market higher. Due to Columbus Day on Monday, export sales were pushed back to Friday. We remain optimistic about prices as questions regarding production continue to mount. Trade rhetoric has fallen flat time and time again, but that’s not to say we won’t see more positively spun headlines in the coming weeks.

Technicals: Futures came within a stone's throw of our first support pocket, we have defined that as 920-924, a spot that we said yesterday holds value to the buy-side. Money-flow has been extremely encouraging across the grain sector over the last month-and-a-half, which can be seen on the charts of corn, soybeans, and wheat, higher lows followed by higher highs.

 

Chicago Wheat (December)

Fundamentals: Chicago wheat bucked the trend and traded higher during yesterday’s session as fundamentalists point to hopes of improving demand. Due to Columbus Day on Monday, export sales were pushed back to Friday. Money-flow in grains is something we’ve been noting for the last month and a half, that continues to be a huge positive that is helping to drive technical short covering.

Technicals: The market pulled back into our technical support pocket from 500-506 ¼, in yesterday’s report we said: “If you’re bullish the market, this is the area to consider adding long exposure. If you’re bearish the market, this is... Please sign up for a Free Trial at Blue Line Futures to view our entire technical outlook, actionable bias and proprietary levels emailed out each morning. 

 

 

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