by Jim Wyckoff, Senior Analyst TraderPlanet.com
NOVEMBER SOYBEANS
November soybean prices Friday gapped lower on the daily bar chart, hit a fresh three-week low, closed near the session low and closed at the weekly low close. Chart damage was inflicted last week and the bears have fresh downside technical momentum on their side. While chart damage was inflicted, remember that soybeans are still in a weather market, which means chart damage can be repaired in a hurry. The bulls do still have the overall technical advantage. The next upside price objective for the bulls is pushing prices above solid technical resistance at $8.47 1/2, which would fill on the upside Friday’s downside price gap on the daily bar chart. The next downside price objective for the bears is closing prices below solid support at $8.20. First resistance for November soybeans is seen at $8.35 and then at $8.40. First support is seen at Friday’s low of $8.25 and then at $8.20.
8.93 ——– the contract high
8.63 1/2 — 10-day moving average
8.55 1/4 — 20-day moving average
8.25 3/4 — 40-day moving average
5.95 ——– the contract low
DECEMBER SOYBEAN MEAL
CBOT December soymeal prices Friday closed sharply lower, near the session low, hit a fresh three-week low and closed at the weekly low close. Meal bears have gained fresh technical momentum. The next upside price objective for the bulls is producing a close above solid chart resistance at $230.00. The next downside price objective for the bears is closing prices below solid support at $220.00. First resistance comes in at $227.50 and then at $230.00. First support is seen at Friday’s low of $225.00 and then at $222.50.
251.70 — the contract high
238.30 — 10-day moving average
233.20 — 20-day moving average
224.50 — 40-day moving average
172.00 — the contract low
Source: VantagePoint Intermarket Analysis Software
DECEMBER SOYBEAN OIL
December bean oil prices Friday closed lower, near mid-range, closed at the weekly low close and closed at a fresh four-week low close. No serious chart damage has occurred in oil recently but bulls are fading. More losses in the near term would raise the specter of a bearish double-top reversal pattern forming on the daily bar chart. Bean oil bulls still have the overall near-term technical advantage. The next upside price objective for the bulls is pushing prices above solid technical resistance at the contract high of 37.65 cents. Bears’ next downside price objective is pushing and closing prices below solid support at the June low of 35.75 cents. First resistance is seen at Friday’s high of 36.30 cents and then at 37.00 cents. First support is seen at the June low of 35.75 cents and then at 35.30 cents.
37.65 — the contract high
36.67 — 10-day moving average
36.86 — 20-day moving average
36.11 — 40-day moving average
22.28 — the contract low
DECEMBER CORN
Chicago Board of Trade December corn prices Friday gapped lower on the daily bar chart, hit a fresh two-week low, closed nearer the session low and closed at the weekly low close. Bears have gained downside near-term technical momentum as a big V-Top reversal pattern could now be forming on the daily bar chart. Also, there is still the specter of a bearish double-top reversal pattern forming on the daily bar chart. However, remember that weather markets can see chart repair chart damage very quickly. Bulls’ next upside price objective is filling on the upside solid resistance at Friday’s downside price gap on the daily chart. That means pushing prices above $3.95. The next downside price objective for the bears is closing prices below solid chart support at $3.75 a bushel. First resistance for December corn is seen at $3.85 and then at $3.90. First support is seen at Friday’s low of $3.79 and then at $3.75.
4.29 1/2 — the contract high
4.08 1/4 —10-day moving average
3.95 1/2 — 20-day moving average
3.84 1/2 — 40-day moving average
2.48 ——– the contract low
DECEMBER CBOT WHEAT
CBOT December wheat prices Friday closed lower and nearer the session low. No chart damage occurred. Wheat bulls still have upside technical momentum. Bulls’ next upside price objective is to close prices above resistance at the contract high of $6.34 a bushel. The next downside price objective for the bears is closing prices below psychological support at $6.00 a bushel. First resistance is seen at of $6.20 and then at Friday’s high of $6.27 1/2. First support lies at Friday’s low of $6.09 1/2 and then at $6.05.
6.34 ——– the contract high
6.12 1/4 — 10-day moving average
5.77 1/2 — 20-day moving average
5.44 1/4 — 40-day moving average
3.86 ——– the contract low
DECEMBER KCBT WHEAT
December Kansas City wheat prices Friday closed nearer the session low. Bulls still have the technical advantage. Bulls’ next upside price objective is closing prices above solid
resistance at the contract high of $6.31 a bushel. The bears’ next downside objective is closing prices below solid support at $5.90 a bushel. First resistance is seen at $6.00 and then at this Friday’s high of $6.06 1/2. First support is seen at Friday’s low of $5.92 and then at $5.85.
6.31 ——– the contract high
6.01 3/4 — 10-day moving average
5.65 3/4 — 20-day moving average
5.35 1/4 — 40-day moving average
4.16 ——– the contract low
