by Jim Wyckoff, Senior Analyst TraderPlanet.com
DECEMBER CORN
Chicago Board of Trade December corn prices Friday closed higher and near mid-range after hitting a fresh three-week high early on. Prices also posted a bullish weekly high close on Friday.Bears still have the slight near-term technical advantage as a steep seven-week-old downtrend is in place from the June high.
But my bias is still that there is not a lot of downside potential left in corn prices. The next downside price objective for the bears is to close prices below solid support at the July low of $3.24 1/2. Bulls’ next upside price objective is closing prices above solid technical resistance at $3.50. First resistance for December corn is seen at Friday’s high of $3.46 and then at $3.50. First support is seen at Friday’s low of $3.38 1/2 and then at $3.36.
Source: VantagePoint Intermarket Analysis Software
CBOT December wheat prices Friday closed higher, near the session high, at the weekly high close and closed at the contract high close. Wheat bulls still have the solid upside technical advantage, amid no signs of a market top being close at hand.
Bulls’ next upside price objective is to close prices above resistance at the contract high of $6.78 a bushel. The next downside price objective for the bears is closing prices below strong support at $6.38 1/2 a bushel, which would fill on the downside an upside price gap created on the daily bar chart.
First resistance is seen at $6.78 and then at $6.85. First support lies at Friday’s low of $6.64 and then at $6.58.
