Daily Grain Technicals & Fundamentals (9.5.18)

Published on: 13:00PM Sep 05, 2018

Corn (December)

 

Yesterday’s Close:  December corn futures finished yesterday’s session up 2 ½ cents, trading in a range of 7 ¾ cents.  Funds were estimated buyers of 10,000 contracts on the day.

 

Fundamentals:  Crop progress was released yesterday afternoon due to the holiday; good/excellent ratings fell 1% to 67%, this is still well above the 61% we saw last year at this time.  Outside of crop progress, there has not been a whole lot of new news to report over the last 24 hours, which will keep our focus on money flow and technicals.

 

Technicals:  The market is pressing up against our resistance pocket from 369 ½-370 ¾, this pocket represents important price points last month and the 50-day moving average.  If the bulls can achieve consecutive closes out above this pocket, that could trigger another round of short covering.  The next objective for the bulls would be....Click this link for a Free Trial at Blue Line Futures to view our entire technical outlook and actionable bias and levels.

 

Soybeans (November)

 

Yesterday’s Close:  November soybean futures finished yesterday’s session down 1 ¾ cents, trading in a range of 14 ¾ cents.  Funds were estimated buyers of 4,000 contracts on the day.

 

Fundamentals:  Yesterday afternoon’s crop progress report showed good/excellent conditions at 66%, in line with what analysts were expecting and well above the 61% we saw for the same time last year.  We are keeping an eye on the potential swine flu disruptions in China, this could have major implications on the soybean meal market which could spill over into soybeans.  Export inspections came in at 769,357 metric tons, within the range of expectations. 

 

Technicals:  The market tested and failed against our resistance pocket yesterday, we have had that defined as 850-853 ½.  This pocket represents the psychologically significant 850 level as well as previously important price points.  A close above here likely takes us to....Click this link for a Free Trial at Blue Line Futures to view our entire technical outlook and actionable bias and levels.

 

Wheat (December)

 

Yesterday’s Close:  December wheat futures finished yesterday’s session down 14 ¾ cents, trading in a range of 23 cents.  Funds were estimated sellers of 7,000 contracts.

 

Fundamentals:  Wheat futures traded lower to start the week on news that Russia would not tighten up their export program like reported, headlines that we used as an opportunity to sell against.  Yesterday’s crop progress report showed that U.S. spring wheat harvest is now 87% complete, this is 2% shy of what most were looking for, but right in line with the same time last year. 

 

Technicals:  The market has been trading technically sound for the better part of the last month as we saw the market round-out near the $6.00 handle.  Since then, we have seen lower highs followed by lower lows, keeping the bears in total control.  If the market breaks down below 518 ½-523 ½, we would expect to see the selling accelerate via long liquidation from the funds.  The next line in the sand doesn’t come in until....Click this link for a Free Trial at Blue Line Futures to view our entire technical outlook and actionable bias and levels.

 

If you have any questions or would like to discuss the markets in more depth, please do not hesitate to call or email.

[email protected]

Direct: 312-837-3938

 

 

Become a brokerage client and work with our team of professionals!

Better Service, Rates, and Platforms!

 

 

 

Futures trading involves substantial risk of loss and may not be suitable for all investors. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.