by Jim Wyckoff, Senior Analyst, TraderPlanet.com
JANUARY SOYBEAN
January soybean prices Friday closed lower and near mid-range in quieter trading. Soybean bears remain in near-term technical command. The next upside price objective for the bean bulls is to push and close prices above major psychological resistance at $10.00 a bushel. The next downside price objective for the bears is pushing and closing prices below psychological support at $9.00. First resistance for January soybeans is seen at Friday’s high of $9.49 and then at last week’s high of $9.74. First support is seen at Friday’s low of $9.17 3/4 and then at $9.00.
16.48 ——- the contract high
9.08 1/2 — 10-day moving average
9.19 ——– 20-day moving average
10.36 3/4 — 40-day moving average
7.90 1/4 —– the contract low
DECEMBER SOYBEAN MEAL
December soymeal prices Friday closed lower on profit taking as it prices consolidated some of last week’s rally. Prices remain above the 20-day moving average crossing at $263.70. The low-range close Friday sets the stage for a steady to lower opening on Monday. Stochastics and the RSI remain neutral to bullish, signaling that sideways to higher prices are possible near-term. Closes below the 20-day moving average crossing at 263.70 would temper the near-term friendly outlook in the market.
$431.90 — contract high
$270.90 — 10-day moving average
$263.80 — 20-day moving average
$289.80 — 40-day moving average
$172.20 — the contract low
DECEMBER SOYBEAN OIL
December bean oil prices Friday posted an inside day with a lower close as prices consolidated some of last week’s rally. The low-range close sets the stage for a steady to lower opening on Monday. Stochastics and the RSI remain bullish, signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving average crossing at 35.86 are needed to confirm that a short-term low has been posted. If December renews this fall’ s decline, the 2007 low crossing at 27.50 is the next downside target.
74.00 — the contract high
33.70 — 10-day moving average
35.87 — 20-day moving average
41.24 — 40-day moving average
23.28 — the contract low
DECEMBER CORN
December corn prices Friday due to profit taking triggered by a stronger U.S. Dollar. December remains above broken resistance marked by the 10-day moving average crossing at $3.98 1/2. The mid-range close sets the stage for a steady opening on Monday.
Stochastics and the RSI remain bullish, signaling that sideways to higher prices are possible near-term. Closes above gap resistance crossing at 4.53 are needed to confirm that a seasonal bottom has been posted. If December renews this fall’s decline, the 87% retracement level of the 2006-2008-rally crossing at
$3.27 is the next downside target. First resistance is Friday’s high crossing at $4.10 1/2 and then at $4.20. First support is the 10-day moving average crossing at $3.98 1/2. Second support is Friday’s low of 3.95 1/2.
7.99 1/4 — the contract high
3.98 1/2 — 10-day moving average
4.04 3/4 — 20-day moving average
4.68 ——- 40-day moving average
2.59 ——– the contract low
DECEMBER CBOT WHEAT
December Chicago wheat prices Friday closed lower on light profit taking ahead of the weekend as prices consolidate around the 87% retracement level of the 2007-2008-rally crossing at $5.36 3/4. The high-range close sets the stage for a steady to higher opening on Monday. Stochastics and the RSI remain bullish, signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving average crossing at $5.58 would confirm that a short-term bottom has been posted. If December renews this fall’s decline, the May 2007 low crossing at $4.90 is the next downside target.
12.84 1/4 — the contract high
5.34 3/4 — 10-day moving average
5.58 1/4 — 20-day moving average
6.33 1/4 — 40-day moving average
4.00 1/2 — the contract low
DECEMBER KCBT WHEAT
December Kansas City wheat prices Friday closed fractionally lower as prices consolidated some of Wednesday’s rally. The market remains above the 10-day moving average crossing at 5.68 3/4. The high-range close sets the stage for a steady to higher opening on Monday. Stochastics and the RSI remain bullish, signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving average crossing at $5.92 1/4 are needed to confirm that a bottom has been posted. If December renews this summer’s decline, the May 2007 low crossing at $4.96 is the next downside target.
12.99 ——– the contract high
5.69 ——— 10-day moving average
5.92 1/2 — 20-day moving average
6.68 1/4 — 40-day moving average
4.88 ——– the contract low
