Grain TV by Grain Hedge
Grain TV is a daily recap after the market close, providing opinions on fundamental analysis of market direction, influences and expectations. This daily program is produced by Grain Hedge, a discount brokerage firm that provides farmers and elevators with agricultural intelligence including live market quotes, cash bid data, the Grain Hedge Optimizer™ and mobile trading platforms, all for $7 commission per side. Grain Hedge provides tools to allow farmers the ability to trade when the markets move without having to wait for a broker and the information to execute a marketing strategy with confidence.
Poor Export Sales Help Push Beans Below $15/bu.
Nov 08, 2012
Mid-Morning Update -- 9:40 AM Central
This morning's export sales numbers have helped extend losses from the overnight session in the grain complex. At the time of this post we see DEC corn down 2, DEC Chicago wheat down 3, and JAN soybeans leading the way lower -- down 8 1/4 cents. Export sales for soybeans came in at 191,000 MT (600k-800k expected) and corn saw exports meet expectations coming in at 209,000 MT.
With this move the JAN soybean contract is now below the psychological $15/bu. mark, and it will be important to see a strong close below $15 to indicate things are going lower. Technically speaking, we see the the 50 day moving average expected to move below the 100 day moving average for the first time since October 2011. This is certainly a different marketing year, but last year this technical indication was followed by lower prices before production concerns from South America rallied prices.
Below is a screen capture from the Firetip trading platform showing market depth on the JAN soybean contract. The VAP column shows the number of trades made at each price level, and you can see that the lower trade today, so far, has been 6 trades made at 1498 1/4. Firetip's "Advanced Trader" is a great way to fine tune the price you enter or exit the market, and we have a lot of producers that have been using it to modify limit orders on their hedges. If you want this market access in your home or office for tomorrow's report take your no-obligation trial today!
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