July Soybeans
Another tight range develops in today’s action. Contract holds 903.6 and presses up thru inner 60 minute channel line at 910.0 mentioned in Fridays post (downward sloping). Market can’t hold above and retreats to finish at 906.6. Difficult to really make anything out of this action. Was today’s high a subset iv wave extreme now set to give way to a v wave decline? A violation of 903.6 should be expected to flush out contract targeting +/- 891. I’d expect this level to set the v wave low and would be looking for another non-impulsive rally to commence. In the event that the market can avoids this and can fortify the 910 level, I’d be expecting to see a recovery unfold targeting +/- 938. A close above 940 sets up further gains with overhead objective extending to +/-975.
Soybean Meal
Similar price action in the meal market leaves little clues as to the contract’s intentions. If recently established lows are violated prices slides to +/- 290. A hold below 293.0 sets stage for further declines extending to 270-265. Immediate overhead resistance comes in at 298.0. If the prices can fortify the 300.0 I’d be left scratching my head as to trying to comfortably label the decline commencing from the 310 level. Next upside target comes in at +/- 316.
Soybean Oil
Prices close just beneath inner channel line at 31.58. A hold below leans on contract. A violation of recent lows looks to challenge 30.89 extreme established in early June. Downside target extends to +/- 30.00. First overhead resistance comes in at +/- 32.05. A fortification of this level sets up an extended rebound targeting +/- 33.00