FOR THURSDAY: (11/10) We had suggested the need to sell rallies today/Thursday but we didn’t get anything after the USDA report and we had gotten stopped out of beans on the freaky rally on Tuesday. Will be harder to chase but usually you sell the Nov. USDA report and get out before Thanksgiving and there is still time left. Still disappointing how this market has its bizarre rhythms sometimes.
JAN. SOYBEANS (electronic ok)
SWING TRADING RECOMMENDATION: Sell Jan beans at 1003 with a 1012.50 stop.
TODAY’S COMMENTS: (11/10) Resistance at 997 and 1005. No doubt of a breakdown in progress but market staying above 985 ledge and we need to get a decent bounce to get short. Three waves down on the daily chart project 971 and once that comes out, a deeper fall is likely to start. Exports are holding this market up.
OVERALL: In the end we need to get to 870-890 but markets never go straight down. That would lead to at least 890 to complete 5 waves down since the June cycle high. Lower support is down to 883-886. This would seem to be the minimum target area for harvest low. Could take until Feb. to come in.
WEEKLY CHART: (11/9) We’re 100% hedged from 1098 and 1180 and 1080 and 955. Seems like final harvest low could be close to 870. Exit hedges into last trading day market on close which is Monday Nov. 14.
CYCLES OVERVIEW: Lower into Thursday/Friday.
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