Cattle Commentary: Cattle futures filled the gap and tried to get legs but couldn’t get the job done. April fats finished the session down 1.10 at 121.90, trading in a range of 2.70. April feeders finished the session down 1.95 at 140.775, trading in a range of 3.15. We saw cash trade at 128.50 after the close, this may help put a band aid on the recent chart damage. The fact that the board can’t hang with cash is a concern for what could be to come; some of that obviously being priced in already. Boxed beef was mixed today.
PM Boxed Beef / Choice / Select
Current Cutout Values: / 224.99/ 216.31
Change from prior day: / .88/ (.70)
Choice/Select spread: / 8.68
Live Cattle (April)
Summary of live cattle over the last week: Chop fest. They found a bid after testing support on the open but the buying quickly dried up after failing to spark anything above our resistance pocket from 123.55-123.80 (today’s high was 123.825). This pocket represents the 50 and 100 day moving average and has acted as solid resistance for the last week. The failure ultimately led to long liquidation and a test towards the bottom end of the range going back to March 8th. We have seen a rather choppy trade recently as the bulls and the bears continue their tug of war match. The failure to gain ground above resistance despite increased cash gives the tip of the cap to the bear camp. The last line of defense comes in from....Please sign up for a Free Trial at Blue Line Futures to view our entire technical outlook and proprietary bias and levels.
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.