by Jim Wyckoff, Senior Analyst TraderPlanet.com
JUNE LIVE CATTLE
June live cattle closed down $0.92 at $94.40 yesterday. Prices closed near the session low and were pressured by more big gains in corn futures. No serious chart damage has occurred but bulls are fading and need to show power soon. Prices are still in a five-week-old uptrend on the daily bar chart, but now just barely. Bulls’ next upside price objective is to close prices above solid chart resistance at $95.50. The next downside technical objective for the bears is closing prices below solid support at $94.00. First resistance is seen at $94.75 and then at yesterday’s high of $95.00. First support is seen at yesterday’s low of $94.25 and then at $94.00.
Wyckoff’s Market Rating: 5.5
MAY FEEDER CATTLE
May feeder cattle closed down $1.40 at $109.02 yesterday. Prices gapped lower on the daily bar chart, hit a fresh five-week low and closed nearer the session low. Feeders were pressured by sharply higher corn futures prices yesterday. Serious near-term chart damage was inflicted yesterday. The next downside price objective for the bears is to produce a close below solid support at $107.40. The next upside price objective for the feeder bulls is to push and close prices above solid resistance at $110.00, which would fill on the upside yesterday’s downside price gap. First resistance is seen at $109.50 and then at yesterday’s high of $109.80. First support is seen at yesterday’s low of $108.65 and then at $108.50.
Wyckoff’s Market Rating: 4.0
JUNE LEAN HOGS
June lean hogs closed down $0.17 at $76.17 yesterday. Prices closed near the session high. Gains were limited yesterday by weaker cash hog prices and the sell off in cattle futures. The next downside price objective for the bears is pushing and closing prices below solid technical support at last week’s low of $74.55. The next upside price objective for the bulls is push and close prices above solid chart resistance at $77.50, which would fill on the upside a big downside price gap on the daily bar chart. First resistance is seen at $76.80 and then at $77.10. First support is seen at $76.00 and then at yesterday’s low of $75.15.
Wyckoff’s Market Rating: 5.0
MAY PORK BELLIES
May pork bellies closed down $2.95 at $87.67 yesterday. Prices gapped lower on the daily bar chart, hit a fresh six-week low and closed near the session low. Serious near-term chart damage has been inflicted recently. The next upside price objective for the bulls is closing prices above solid technical resistance at $90.25, which would fill on the upside yesterday’s downside price gap on the daily chart. The next downside price objective for the bears is closing prices below solid chart support at the January low of $85.05. First resistance is seen at $88.00 and then at $89.00. First support is seen at yesterday’s low of $87.62 and then at $87.00.
Wyckoff’s Market Rating: 3.0
