by Jim Wyckoff, Senior Analyst TraderPlanet.com

DECEMBER CORN

Chicago Board of Trade December corn prices Friday closed firmer and nearer the session high. Bulls were encouraged that prices did not post losses in the wake of a slightly bearish USDA report issued Friday morning. The next downside price objective for the bears is to close prices below solid support at $3.36. Bulls’ next upside price objective is closing prices above solid technical resistance at last week’s high of $3.60. First resistance for December corn is seen at Friday’s high of $3.53 1/2 and then at $3.60. First support is seen at $3.48 and then at $3.45.


4.31 ——– the contract high

3.45 1/2 —10-day moving average

3.40 1/4 — 20-day moving average

3.56 ——– 40-day moving average

2.48 ——– the contract low

DECEMBER CBOT WHEAT

CBOT December wheat prices Friday closed lower and near the session low on profit-taking after hitting a recent contract high. Prices did see weakness amid a bullish USDA report, which is a bit worrisome for the bulls, but no chart damage has occurred to suggest a market top is close at hand. Bulls’ next upside price objective is to close prices above resistance at the contract high of $7.10 1/2 a bushel. The next downside price objective for the bears is closing prices below strong support at $6.58 a bushel. First resistance is seen at $7.00 and then at the contract high of $7.10 1/2. First support lies at Friday’s low of $6.80 and then at $6.70.


7.10 — the contract high

6.73 3/4 — 10-day moving average

6.58 1/2 — 20-day moving average

6.39 1/4 — 40-day moving average

3.86 ——– the contract low

DECEMBER KCBT WHEAT

December Kansas City wheat prices Friday closed lower and near mid-range on mild profit-taking pressure. Wheat bulls still have the strong technical advantage amid no signs of a market top. Bulls’ next upside price objective is closing prices above solid resistance at the contract high of $6.86 a bushel. The bears’ next downside objective is closing prices below solid support at last week’s low of $6.56 a bushel. First resistance is seen at Friday’s high of $6.75 and then at $6.80. First support is seen at Friday’s low of $6.64 1/2 and then at $6.60.


6.86 ——– the contract high

6.59 1/2 — 10-day moving average

6.44 1/2 — 20-day moving average

6.27 1/4 — 40-day moving average

4.16 ——– the contract low

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Source: VantagePoint Intermarket Analysis Software

NOVEMBER SOYBEANS

November soybean prices Friday closed lower and near mid-range after hitting a fresh three-week high early on. Price action also scored a bearish “outside day” down on the daily bar chart on Friday. The fact that beans could not post any strength by the close, in the wake of a friendly USDA report Friday morning, should worry the bulls a bit. The next downside price objective for the bears is closing prices below solid support at $8.50. The next upside price objective for the bulls is pushing prices above solid technical resistance at Friday’s high of $8.81 1/2. First resistance for November soybeans is seen at $8.75 and then at $8.81 1/2. First support is seen at $8.64 and then at Friday’s low of $8.59.


9.49 1/2 — the contract high

8.61 ——– 10-day moving average

8.60 3/4 — 20-day moving average

8.71 1/4 — 40-day moving average

5.95 ——– the contract low

DECEMBER SOYBEAN MEAL

CBOT December soymeal prices Friday closed higher, near the session high and hit a fresh four-week high and closed at the weekly high close. Prices also scored a bullish “outside day” up on the daily bar chart. Bulls have gained solid upside technical momentum recently, including more Friday. Spreaders were unwinding long oil, short meal spreads. But if soybean futures cannot rally further, then meal does not have much upside left, either. The next downside price objective for the bears is closing prices below solid support at $233.80, which would fill on the downside an upside price gap on the daily bar chart. The next upside price objective for the bulls is producing a close above solid chart resistance at Friday’s high of $242.50. First resistance comes in at $242.50 and then at $245.00. First support is seen at $238.00 and then at $236.00.


266.00 — the contract high

230.80 — 10-day moving average

230.70 — 20-day moving average

236.70 — 40-day moving average

172.00 — the contract low

DECEMBER SOYBEAN OIL

December bean oil prices Friday gapped lower on the daily bar chart, hit a fresh six-week low, closed near mid-range and did close at the weekly low close. Chart damage was inflicted Friday to suggest that a near-term market top is in place. My bias is that a market top is in place in crude oil and that does not bode well for bean oil bulls. The next upside price objective for the bulls is pushing and closing prices above solid technical resistance at 37.65 cents, which would fill on the upside Friday’s downside price gap on the daily bar chart. Bears’ next downside price objective is pushing and closing prices below solid support at Friday’s and last week’s low of 36.85 cents. First resistance is seen at Friday’s high of 37.55 cents and then at 37.65 cents. First support is seen at Friday’s low of 36.85 cents and then at 36.50 cents.


39.20 — the contract high

38.08 — 10-day moving average

38.08 — 20-day moving average

37.80— 40-day moving average

22.28 — the contract low

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Source: VantagePoint Intermarket Analysis Software