Daily Livestock technicals and Fundamentals (8.28.18)

Published on: 21:16PM Aug 28, 2018

Last Trades:

LEV8: -.60 at 108.70, trading in a range of 2.175

LEZ8: -.925 at 112.725, trading in a range of 2.40

GFU8: -1.325 at 149.354, trading in a range of 3.25

GFV8: -.675 at 149.40, trading in a range of 3.70

 

 

Cattle Commentary:  In yesterday’s commentary we mentioned looking for a spot to flip short in the coming days.  That selling opportunity didn’t last terribly long, October live cattle futures marked their high in the first few minutes of trade and sold off from there.  We weren’t able to capitalize like we wanted to, but we live to see another day.  We would still like to set up on the sell side but are waiting for better prices (see full technical breakdown below).  Cash bids are starting the week near 106, this would be a softer cash than last week if traded.  Tomorrow’s Fed Cattle Exchange has 751 head offered, this could out a more defined line in the sand. 

 

PM Boxed Beef / Choice / Select

Current Cutout Values: / 212.53 / 204.41

Change from prior day: / (1.10) / (.44)

Choice/Select spread: / 8.12

 

Tech Talk

 

Live Cattle (October)

 

It was a buy the rumor sells the news in the livestock markets over the past 24 hours which has shaken up the technical.  First resistance from 109.40-109.75 remains intact, but we would be more comfortable and more aggressive selling against....Click this link for a Free Trial at Blue Line Futures to view our entire technical outlook and actionable bias and levels.

 

Feeder Cattle (October)

 

Feeder cattle failed at resistance om the open and the selling escalated shortly after.  The market found support near the 200-day moving average which came in at 147.40.  We continue to believe the bears are in control until the bulls can chew through 152.075-152.35 with conviction on consecutive closes.  This pocket represents the recent highs, a failure to chew through here would market lower highs.  A failure to breakout will likely invite sellers back into the market.  A break and close back below 148.15 opens the door for an acceleration towards....Click this link for a Free Trial at Blue Line Futures to view our entire technical outlook and actionable bias and levels.

 

Lean Hog Commentary and Technicals (October)

 

The market giveth and the market taketh, something that lean hog traders are becoming more accustom to over the last two weeks.  Today’s failure against our resistance sparked selling, erasing all of yesterday’s gains with October futures finishing down 2.85 at 51.925, trading in a range of 4.00.  The market is....Click this link for a Free Trial at Blue Line Futures to view our entire technical outlook and actionable bias and levels.

 

 

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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.