by Jim Wyckoff, Senior Analyst TraderPlanet.com

OCTOBER LIVE CATTLE

October live cattle closed down $0.35 at $104.75 yesterday. Prices closed near mid-range and were pressured by a bearish USDA cattle on feed report issued Friday afternoon. Prices are still in a steep four-week-old downtrend on the daily bar chart. The bulls’ next upside price objective is to push prices above solid resistance at $106.00. The next downside technical objective for the bears is pushing and closing prices below solid technical support at last week’s low of $103.80. First resistance is seen at $105.00 and then at $105.50. First support is seen at yesterday’s low of $104.35 and then at $104.00.

Wyckoff’s Market Rating: 4.5

SEPTEMBER FEEDER CATTLE

September feeder cattle closed down $0.82 at $111.10 yesterday. Prices closed near the session low and hit a fresh six-week low yesterday. Prices have seen a downside “breakout” from a bearish descending triangle pattern on the daily bar chart. The next upside price objective for the feeder bulls is to push and close prices above solid technical resistance at $113.00. The next downside price objective for the bears is to produce a close below solid support at the June low of $110.00. First resistance is seen at yesterday’s high of $111.75 and then at $112.00. First support is seen at $111.00 and then at $110.50.

Wyckoff’s Market Rating: 5.0

OCTOBER LEAN HOGS

October lean hogs closed down $0.47 at $73.35 yesterday. Prices closed nearer the session low yesterday on profit-taking pressure from recent gains. Prices are still in a three- week-old uptrend on the daily bar chart. Bulls still have the near-term technical advantage. The next upside price objective for the bulls is to push prices above solid chart resistance at last week’s high of $74.50. The next downside price objective for the bears is pushing prices below solid technical support at $72.00. First resistance is seen at $74.00 and then at yesterday’s high of $74.35. First support is seen at yesterday’s low of $73.00 and then at $72.50.

Wyckoff’s Market Rating: 6.5

AUGUST PORK BELLIES

August pork bellies closed down $1.87 at $72.45 yesterday. Prices closed near the session low on profit-taking pressure after locking up the trading limit of $3.00 for three sessions in a row last week. Bulls still have some near-term technical momentum as prices yesterday did hit a fresh eight-week high. The next upside price objective for the bulls is closing prices above solid technical resistance at yesterday’s high of $76.30. The next downside price objective for the bears is pushing and closing prices below solid chart support at $70.00. First resistance is seen at $73.00 and then at $74.00. First support is seen at yesterday’s low of $71.75 and then at $71.00.

Wyckoff’s Market Rating: 5.0