LIVESTOCK: June live cattle closed up $1.17 at $137.60 Wednesday. Prices closed near mid-range today. The bulls have the overall near-term technical advantage and regained some upside momentum today to begin to render last week’s bearish key reversal down on the daily bar chart moot. Prices are in a four-month-old uptrend on the daily bar chart. Bulls’ next upside price “breakout” objective is to push and close prices above solid resistance at the contract high of $138.75. The next downside technical breakout objective for the bears is pushing and closing prices below solid technical support at last week’s low of $135.30. First resistance is seen at today’s high of $138.00 and then at $138.75. First support is seen at $137.00 and then at $136.50. Wyckoff’s Market Rating: 7.5
May feeder cattle closed up $1.02 at $179.12 Wednesday. Prices closed at a fresh contract high close today. This week’s strong upside price action gives the feeder bulls the solid overall near-term technical advantage to suggest more on the upside in the near term. Prices are in a four-week-old uptrend on the daily bar chart. The next upside price breakout objective for the feeder bulls is to push and close prices above solid technical resistance at $180.00. The next downside price breakout objective for the bears is to push and close prices below solid technical support at last week’s low of $175.85. First resistance is seen at the contract high of $179.25 and then at $180.00. First support is seen at $178.55 and then at $178.00. Wyckoff’s Market Rating: 8.0
June lean hogs closed up $1.15 at $126.35 Wednesday. The market hit a two-week low and then turned around to score a bullish “outside day” up on the daily bar chart. It is still my bias the air is coming out of this market. A bearish “island top” reversal pattern formed on the daily bar chart after Tuesday’s gap-lower trade. The next upside price breakout objective for the hog bulls is to push and close prices above solid chart resistance at $130.00. The next downside price breakout objective for the bears is pushing prices below solid technical support at today’s low of $123.20. First resistance is seen at today’s high of $127.00 and then at $127.80. First support is seen at $125.20 and then at $124.00. Wyckoff’s Market Rating: 7.0
