LEM8: 1.00 at 105.175, trading in a range of 1.925
LEQ8: .325 at 104.525, trading in a range of 1.80
GFK8: UNCH at 140.375, trading in a range of 2.325
GFQ8: .20 at 144.975, trading in a range of 2.05
Cattle Commentary: Cattle futures managed to hang on to gains today, after it appeared we would see another day of the afternoon fade. We still think there is a push higher left in the market but may be limited after that (see technicals below). Expectations for cash trade this week are steady to firm. The bulk of cash trade to start last week came in at 117 but that rose quickly to 122 by late Friday afternoon. Tomorrows Fed Cattle Exchange has 3,220 head offered which is the second week in a row of decent numbers. Early estimates for tomorrows cattle on feed report are: Cattle on Feed to come in at 107.5%, Placements at 90.6%, and Marketing’s at 96.1%.
PM Boxed Beef / Choice / Select
Current Cutout Values: / 212.13 / 199.58
Change from prior day: / .34 / (.40)
Choice/Select spread: / 12.55
Live Cattle (April)
April live cattle poked their head above yesterday’s highs and into our resistance pocket from 106.05-106.925 but failed to attract new buyers at this point. Though we didn’t get a verifiable breakout today, it was encouraging to see a decent close in the green. Resistance remains intact for tomorrows session and another test to that resistance could be just what the market needs to get that bigger move. A close above resistance could encourage momentum traders to jump on board and take prices towards our next resistance pocket which 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.
Feeder Cattle (May)
May feeder cattle started the day with a bang but failed to hold the early morning gains yet again. The market attempted to breakdown through support but managed to hold from 139.425-139.95, this support pocket remains intact but the longer we linger here the less sturdy it becomes. If the bulls can defend support, we would expect to see the next move higher take us to....Please sign up for a Free Trial at Blue Line Futures to view our entire technical outlook and proprietary bias and levels.
Lean Hog Commentary and Technicals (June)
June futures finished the day down .025 at 76.775, trading in a range of 1.125. June lean hogs managed to hold their ground above technical support which we had outlined as 76.00-76.25; this pocket remains intact for tomorrows session. The failure against resistance from 78.05-78.45 over the past few sessions leads us to believe that we could see a breakdown before we see a breakout. If support gives way we would expect to see the selling pressure accelerate, the next support pocket 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.
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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.