December live cattle closed down $0.27 at $125.92 yesterday. Prices closed near mid-range yesterday on a mild corrective pullback from this week’s gains. The key “outside markets were mildly bullish for cattle yesterday, as the U.S. dollar index was weaker and crude oil prices were firmer. That did limit the downside in cattle yesterday. Cattle bears have the overall near-term technical advantage. However, my bias is that a near-term market low is in place. The bulls’ next upside price breakout objective is to push and close prices above solid technical resistance at $127.50. The next downside technical breakout objective for the bears is pushing and closing prices below solid technical support at the September low of $123.95. First resistance is seen at this week’s high of $126.30 and then at $127.00. First support is seen at yesterday’s low of $125.62 and then at $125.25. Wyckoff’s Market Rating: 3.5
January feeder cattle closed down $0.80 at $148.70 yesterday. Prices closed near the session high on a corrective pullback from this week’s gains. Feeder bulls and bears are on a level near-term technical playing field. Prices have been trading choppy and sideways for the past two months. The next upside price breakout objective for the feeder bulls is to push and close prices above solid technical resistance at $150.00. The next downside price breakout objective for the bears is to push and close prices below solid technical support at this week’s low of $145.95. First resistance is seen at this week’s high of $149.50 and then at $150.00. First support is seen at yesterday’s low of $148.05 and then at $147.40. Wyckoff’s Market Rating: 5.0
December lean hogs closed up $0.10 at $78.20 yesterday. Prices closed nearer the session low yesterday. The key “outside markets” were mildly bullish for hogs yesterday as the U.S. dollar index was weaker and crude oil prices were firmer. Hog market bulls have the slight overall near-term technical advantage. The next upside price breakout objective for the hog bulls is to push and close prices above solid chart resistance at the October high of $79.77. The next downside price breakout objective for the bears is pushing prices below solid technical support at $76.55. First resistance is seen at $78.75 and then at yesterday’s high of $79.05. First support is seen at this week’s low of $77.55 and then at $77.00. Wyckoff’s Market Rating: 5.5
