On Demand

Grain Market Analysis

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December corn futures were down 2 1/4 cents at $7.98 1/2 in late trading yesterday. Prices were near mid-range and mildly pressured by profit-taking and worries about demand destruction at higher price levels. Focus is now less on the supply and more on what record high prices have done to demand for corn. The corn bulls still have the solid overall near-term technical advantage. Corn bulls' next upside price objective is to push and close prices above solid technical resistance at the contract high of $8.49. The next downside price breakout objective for the bears is pushing and closing prices below solid technical support at the last "reaction low" on the daily chart, at $7.86. First resistance for December corn is seen at this week's high of $8.18 and then at $8.25. First support is yesterday's low of $7.95 1/4 and then at $7.90.

Wyckoff's Market Rating: 8.0

November soybeans were up 7 cents at $17.25 3/4 a bushel in late trading yesterday. Prices were nearer the session high. Prices Monday hit a contract high. Soybean bulls have the solid overall near-term technical advantage. The next near-term upside technical breakout objective for the soybean bulls is pushing and closing November prices above psychological resistance at $18.00 a bushel. The next downside price breakout objective for the bears is pushing and closing prices below solid technical support at last week's low of $16.41. First resistance is seen at $17.34, at last week's high of $17.44 3/4 and then at Monday's contract high of $17.60 1/2. First support is seen at $17.00 and then at $16.91 1/2.

Wyckoff's Market Rating: 8.0.

December soybean meal was up $4.20 at $522.80 in late trading yesterday. Prices were nearer the session high. Prices Monday hit a contract high. Meal bulls have the overall near-term technical advantage. Prices are in a three-month-old uptrend on the daily bar chart. The next upside price breakout objective for the bulls is to produce a close above solid technical resistance at $535.00. The next downside price breakout objective for the bears is pushing and closing prices below solid technical support at last week's low of $497.30. First resistance comes in at yesterday's high of $525.10, at last week's high of $527.90 and then at Monday's contract high of $531.90. First support is seen at $520.00 and then at $515.30 and then at yesterday's low of $513.30.

Wyckoff's Market Rating: 8.0

December bean oil was down 13 points at 56.43 cents in late trading yesterday. Prices were near mid-range and saw some profit taking after hitting a 4.5-month high on Monday. Bean oil bulls still have the overall near-term technical advantage. The next upside price breakout objective for the bean oil bulls is pushing and closing prices above solid technical resistance at the April high of 58.45 cents. Bean oil bears' next downside technical price breakout objective is pushing and closing prices below solid technical support at 54.50 cents. First resistance is seen at yesterday's high of 56.88 cents and then at 57.00 cents. First support is seen at yesterday's low of 55.98 cents and then at 55.67 cents.

Wyckoff's Market Rating: 6.5

December Chicago SRW wheat was down 4 cents at $8.77 1/4 in late trading yesterday. Prices were near mid-range. More profit taking was featured yesterday. Wheat bulls still have the overall near-term technical advantage. However, the choppiness and sideways trading at higher price levels, amid some higher volatility, is not bullish. Wheat bulls' next upside breakout objective is to push and close Chicago SRW prices above solid technical resistance at the July high of $9.53 1/4 a bushel. The next downside price breakout objective for the wheat futures bears is pushing and closing prices below solid technical support at the August low of $8.57 1/4. First resistance is seen at yesterday's high of $8.89 1/2 and then at $9.00. First support lies at yesterday's low of $8.71 1/4 and then at $8.57 1/4.

Wyckoff's Market Rating: 6.5.

December K.C. HRW wheat was down 3 1/2 cents at $8.95 in late trading yesterday. Prices were near mid-range on more profit taking. The bulls still have the overall near-term technical advantage. Bulls' next upside price breakout objective is pushing and closing prices above solid technical resistance at the July high of $9.57 1/4. The bears' next downside breakout objective is pushing and closing prices below solid technical support at the August low of $8.74 1/4. First resistance is seen at yesterday's high of $9.04 and then at this week's high of $9.14 1/2. First support is seen at yesterday's low of $8.87 3/4 and then at $8.74 1/4.

Wyckoff's Market Rating: 6.5

December oats were down 4 cents at $3.83 yesterday in late trading. Prices were near mid-range and saw more profit taking. Oats bulls still have the overall near-term technical advantage and are following the major grains. Bears' next downside price breakout objective is pushing and closing prices below solid technical support at $3.65. Bulls' next upside price breakout objective is pushing and closing prices above solid technical resistance at last week's high of $4.00. First support lies at this week's low of $3.80 and then at $3.75. First resistance is seen at yesterday's high of $3.86 1/2 and then at $3.90.

Wyckoff's Market Rating: 8.0

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About the Author

JimWyckoff

Jim Wyckoff has been involved with the stock, financial and futures markets for more than 20 years. He was born and raised in Iowa, where he still resides.

Wyckoff became a financial journalist with Futures World News for many years, cutting his teeth as a reporter on the futures trading floors in Chicago and New York, where he covered every futures market traded in the United States at one time or another.

Not long after he began his career in financial journalism, he began studying technical analysis. By studying chart patterns and other technical indicators, he realized this approach to analyzing and trading markets could level the playing field between “professional insiders” in the markets and individual traders.

His extensive studies of technical analysis and knowledge of markets led to several positions, including chief technical analyst at several well-known companies. He says his mission is not just to generate profits for traders but to also provide them with educational and insightful information because, in the fascinating business of trading, one never stops learning.

Wyckoff received a Bachelor of Science degree at Iowa State University, graduating in 1984 with a major in journalism and a minor in economics. He and his wife have two children, a son in high school and a daughter in college.

When he’s not analyzing markets and educating traders, Wyckoff says he loves adventures, from driving a Jeep across the highest mountain pass in the continental United States to extreme winter camping in the Boundary Waters to hiking in the jungles of South America.

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