by Jim Wyckoff, Senior Analyst, TraderPlanet.com
DECEMBER LIVE CATTLE
December live cattle closed up $1.30 at $88.85 yesterday. Prices closed near mid-range yesterday and were supported by short covering in a bear market. Prices hit a fresh contract low on Friday. Bears still have the solid near-term technical advantage. Prices are still in a 16- week-old downtrend on the daily bar chart. Bulls’ next upside price objective is to push prices above solid technical resistance at $92.00. The next downside technical objective for the bears is pushing and closing prices below solid technical support at the contract low of $87.10. First resistance is seen at yesterday’s high of $89.77 and then at $90.00. First support is seen at $88.00 and then at yesterday’s low of $87.57.
Wyckoff’s Market Rating: 1.5
NOVEMBER FEEDER CATTLE
November feeder cattle closed up $1.72 at $95.55 yesterday. Prices closed nearer the session high on short covering in a bear market. Prices Friday scored a fresh contract low. Bears still have the solid near-term technical advantage. Prices are still in a three-month-old downtrend on the daily bar chart. The next upside price objective for the feeder bulls is to push prices above solid technical resistance at $98.00. The next downside price objective for the bears is to produce a close below solid technical support at the contract low of $93.77. First resistance is seen at yesterday’s high of $96.20 and then at $96.55. First support is seen at $95.00 and then at $94.80.
Wyckoff’s Market Rating: 1.5
DECEMBER LEAN HOGS
December lean hogs closed up $0.05 at $58.55 yesterday. Prices closed near mid-range yesterday and did hit a fresh two-week high. Tepid short covering in a bear market was featured yesterday. Hog bears still have the near-term technical advantage. Prices are still in a three-month-old downtrend on the daily bar chart. The next upside price objective for the bulls is to push prices above solid chart resistance at $60.00. The next downside price objective for the bears is pushing prices and closing below solid technical support at the contract low of $55.90. First resistance is seen at yesterday’s high of $59.15 and then at $59.50. First support is seen at $58.00 and then at yesterday’s low of $57.75.
Wyckoff’s Market Rating: 2.0
FEBRUARY PORK BELLIES
February pork bellies closed up $2.07 at $86.40 yesterday. Prices closed nearer the session high on short covering in a bear market. Bears still have the near-term technical advantage. The next upside price objective for the bulls is pushing prices above solid technical resistance at $90.00. The next downside price objective for the bears is pushing and closing prices below solid technical support at the contract of $83.45. First resistance is seen at yesterday’s high of $87.32 and then at $88.00. First support is seen at $86.00 and then at $85.00.
Wyckoff’s Market Rating: 2.0
