February live cattle closed down $1.00 at $131.55 yesterday. Prices closed near the session low yesterday and hit a fresh three-week low on profit more taking. A choppy, two-month-old uptrend on the daily bar chart was at least temporarily negated yesterday. The recent choppy and volatile trading at higher price levels has been an early warning signal of a potential topping process in this market. The cattle bulls still have the slight overall near-term technical advantage. The bulls’ next upside price breakout objective is to push and close prices above solid technical resistance at this week’s high of $133.40. The next downside technical breakout objective for the bears is pushing and closing prices below solid technical support at the December low of $129.77. First resistance is seen at $132.00 and then at yesterday’s high of $132.65. First support is seen at yesterday’s low of $131.52 and then at $131.00. Wyckoff’s Market Rating: 5.5
March feeder cattle closed down $1.22 at $153.77 yesterday. Prices closed near the session low again yesterday on more profit taking. The feeder bulls still have the slight overall near-term chart advantage, but are fading this week. The next upside price breakout objective for the feeder bulls is to push and close prices above solid technical resistance at the December high of $157.07. 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 $153.65. First resistance is seen at $154.00 and then at yesterday’s high of $154.70. First support is seen at $153.65 and then at 153.00. Wyckoff’s Market Rating: 5.5
February lean hogs closed down $2.15 at $84.20 yesterday. Prices closed near the session low again yesterday. Bulls faded yesterday as a four-month-old uptrend on the daily chart was at least temporarily negated yesterday. A weakening cash hog market helped to pressure the futures yesterday. The bulls still 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 this week’s high of $86.95. The next downside price breakout objective for the bears is pushing prices below solid technical support at the December low of $83.20. First resistance is seen at $85.00 and then at $85.50. First support is seen at $84.00 and then at $83.20. Wyckoff’s Market Rating: 5.5
