FOR THURSDAY: (12/15) Grains should hold up into Thursday or Friday but may not come down until after Dec. 20-21. For now we have to expect a lot of sideways trade and some bidding until 371 on March corn and 1070 on Jan. beans comes in. Cattle could be higher the rest of the week and hogs sickly and haven’t fallen apart during the last few days of weakness.
JAN. SOYBEANS (electronic ok)
TRADING RECOMMENDATION: Stand aside.
TODAY’S COMMENTS: (12/15) Disappointing action here. Not inspired to be a buyer although cycles suggest it should recover the next few sessions. Market retested the low of Dec. 8 but below 1019, we would see 1015 and then only a bounce to 1027. The easy play seems buying the double bottom and looking for at least 1048. Still, the reality of a big crop is there. Given potential weather problems in SA and the need for higher prices for hedging and cash sales, we’re not going to buy into this retracement fall. We’re not in a rush to rebuy after taking a loss of about 9 cents overnight.
OVERALL: Should see max. 1090 on next push up into January cycle highs.
CYCLES OVERVIEW: Higher Thursday; higher into Dec. 21; lower into Dec. 23.
Comments are closed.