FOR MONDAY: (7/17) Lately Sundays and Mondays have had strong upward moves when weather disappoints or turns more negative. We think the market could be higher on Sunday into early Monday but then give back gain on Monday, as new selling will emerge if we get that kind of gap. The pollination threat is out there if the weather doesn’t change and that should create a head-and-shoulders top for corn if we’re patient.
DEC. CORN (electronic ok)
TRADING RECOMMENDATION: Wait for morning comments.
TODAY’S COMMENTS: (7/17) Market looked like it did a 4th wave and needs to take out 398 to look more friendly. Another push down to at least 381 is coming and if weather turns bearish, a plunge to 371 could happen. We think the market is up into early Monday and then down hard into Monday night but not seeing any point in playing unless we can get in at key levels. Have to leave it alone.
OVERALL: Close below the key Gann square at 400 will be hard to take out now on even with a pollination scare. We have to stay open to a head-and-shoulders bounce but the market actually looks lower on Monday and that bounce may start from Monday night’s lower levels.
CYCLES OVERVIEW: Recovering July 17; sharply lower Monday night; recovering higher Tuesday/Wednesday; lower Thursday.
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