The February Lean Hogs contract opened higher and made an early attempt to rally then ran into a brick wall at 69.275. It reversed course and tested the 100 DMA at 67.88 making the session low at 67.90. Hogs remain in a trading range with the high end at 69.875 and the low end at 65.40 as the trade …
Grain Spreads: Old Gaps/Opportunities/3 Trades
Jan 2020 soybeans filled in some prior Spring gaps on the daily chart at approximately the 868 level. These have been violated and surpassed a few times since the gaps were previously made so the significance isn’t as important in my view but noted all the same. The 868 level also represents a 50 percent retracement from the highs up …
AG THOUGHTS
The soy complex has perhaps put in a short term low. The trade is aware that some production will remain in the fields. In addition the month of Nov did see a healthy export pace. These facts will tighten the domestic balance sheet a bit and could provide some near term support. The next developments to watch will be what …
Grain Spreads: March 20/Dec 20 Corn
Trade deal drama, impeachment inquiries, and a NATO summit dominate the national headlines to start December. In the Midwest, corn harvest continues to plod along. This afternoons data showed 89 percent of the corn crop harvested vs a five year average of 98 percent. Problems continue to plague the Northern Plains and Great Lakes areas. North Dakota is at just …
Livestock Report
The February Lean Hogs contract made an about-face after failing to take out the Friday high early in the trading session. After failing to overtake the Friday high (69.325) by topping out at 68.975, price broke down and fell below the 100 DMA (68.12) and then collapsed. It fell past support at 66.55 almost going down limit and making …
Livestock Report
The February Lean Hogs contract continued its consolidation on Monday. It is now stuck between resistance at the declining 100 DMA (68.54) and support at 66.55. Monday’s range was 68.25 and 66.825. A break out above the 100 DMA could see resistance tested at 69.80. A break down below support could see the rising 21 DMA tested at 65.58 …
AG THOUGHTS
The soy started the week under pressure. The thought is that the US crop will bet out before to long. In addition, The weather in SA has shown improvement and other than a few bad spots all is well. The long term in the market presents some opportunities but perhaps more subdued than past years. The bean carry while lower …
Livestock Report
The February Lean Hogs contract consolidated within Thursday’s trading range. It formed an inside candlestick and is below the declining 100 DMA (68.69) and above the 13 DMA (66.16). The low (66.625) today was above the 66.55 support level. The high was just above the 67.80 resistance level at 68.275. Settlement was at 67.65. This is just below resistance and …
Livestock Report
The February Lean Hogs contract continued its attack on the down side, going limit down and settling just above the down limit price at 66.775. The beatdown shows the increasing worry traders have about trade with China. Or, should I say lack of trade with China. Even though sales and exports are strong to China, perception is the US …
Grain Spreads: Wheat Gains on Corn
Corn seems to be the weak link in the AG sector as funds in my view have pushed out to a 160 K short. Despite the fact that we are behind in harvest where as of last weekend corn is only at 76 percent harvested nationally, funds have shrugged any supply side concerns and have focused on weak demand. Then …