FOR TUESDAY: (8/8) Grains opened slightly higher but still see them retracing into Thursday/ Friday and think sells are in order. Cattle look weaker this week if you can find a risk/reward. So crazy!
DEC. CORN (electronic ok)
SWING TRADING RECOMMENDATION: Sell Dec. corn at 389.75 with 395.50 stop.
TODAY’S COMMENTS: (8/8) Corn rallied strongly and then got a friendly report but is it in the market already? Last week, we were looking for this kind of action but cycles into the rest of the week are bearish so we should see the market give back territory. Support 384.50 and 383.00. Corn may be eventually going to 393. Easier to sell the beans but market is overbought now into a key cycle high and should come off. Market shouldn’t take out 390.50.
OVERALL: Downside is limited. Resistance is at 388 as short-covering develops and support at 383 today. We have a bias toward lower prices into Thursday and may sell tonight if conditions set up.
CYCLES OVERVIEW: Lower into Aug. 11.
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