by Jim Wyckoff, Senior Analyst, TraderPlanet.com
DECEMBER LIVE CATTLE
December live cattle closed down $0.15 at $92.65 yesterday. Prices closed near the session low yesterday. The bears still have the overall near-term technical advantage. Prices are still trading below a four-month-old downtrend line on the daily bar chart. Bulls’ next upside price objective is to push prices above solid technical resistance at last week’s high of $94.75. The next downside technical objective for the bears is pushing and closing prices below solid technical support at $91.00. First resistance is seen at $93.00 and then at yesterday’s high of $93.60. First support is seen at yesterday’s low of $92.55 and then at $92.00.
Wyckoff’s Market Rating: 3.0
MARCH FEEDER CATTLE
March feeder cattle closed down $0.05 at $99.62 yesterday. Prices closed near mid-range yesterday on a mild corrective pullback from recent gains. The bulls still have some technical momentum to begin to suggest a near-term low is in place, but need to show fresh power soon. The next upside price objective for the feeder bulls is to push prices above solid technical resistance at last week’s high of $101.20. The next downside price objective for the bears is to produce a close below solid technical support at $98.00. First resistance is seen at yesterday’s high of $100.00 and then at $100.60. First support is seen at yesterday’s low of $98.90 and then at $98.50.
Wyckoff’s Market Rating: 3.0
DECEMBER LEAN HOGS
December lean hogs closed down $0.40 at $55.00 yesterday. Prices closed near mid-range yesterday in quiet trading. Hog bears still have the near-term technical advantage, amid still-bearish cash hog market fundamentals. Prices are still in a three-month-old downtrend on the daily bar chart. There are no clues of a market low being close at hand. The next upside price objective for the bulls is to push prices above solid chart resistance at $57.40, which would fill on the upside a downside price gap on the daily chart. The next downside price objective for the bears is pushing prices and closing below solid technical support at the contract low of $53.90. First resistance is seen at yesterday’s high of $55.45 and then at last week’s high of $55.90. First support is seen at yesterday’s low of $54.70 and then at $54.30.
Wyckoff’s Market Rating: 1.0
FEBRUARY PORK BELLIES
February pork bellies closed down $1.90 at $84.20 yesterday. Prices closed near mid-range yesterday. Bears still have the solid near-term technical advantage. Prices are in a six- week-old downtrend on the daily bar chart. The next upside price objective for the bulls is pushing prices above solid technical resistance at last week’s high of $86.35. The next downside price objective for the bears is pushing and closing prices below solid technical support at the contract low of $82.95. First resistance is seen at $85.00 and then at $86.00. First support is seen at $83.50 and then at the contract low of $82.90.
Wyckoff’s Market Rating: 1.0
