Weekend Wrap Up (12.2.19)

Published on: 21:18PM Dec 02, 2018

Weekend Wrap Up

 

December 2, 2018

 
 

Corn

 

Last Week’s Close:  March corn futures finished Friday’s session up 3 ½ cents, extending gains for the week to 6 ½ cents.  Futures traded in a 10 ¾ cent range through the week.  Friday’s Commitment of Traders report showed funds sold 21,202 futures through November 27th, expanding their net short position to 31,054 contracts.

 

Quick Take:  Positive news from the G-20 summit over the weekend has market participants expecting a higher open with opening calls ranging from 5-12 cents higher.  The first resistance pocket we will be watching closely comes in from 382-385 ¼, this pocket represents a key retracement from the September lows to the October highs.  The pocket also contains previously important price points. 

 

To get our full report emailed to you, click HERE or email Oliver@BlueLineFutures.com.

 

Soybeans

 

Last Week’s Close:  January soybean futures finished Friday’s session up 6 cents, extending gains for t he week to 12 ½ cents.  Futures traded in a 39 ½ cent range through the week.  Friday’s Commitment of Traders report showed funds sold 6,124 futures through November 27th, expanding their net short position to 59,303 contracts.

 

Quick Take:  News from the G-20 summit over the weekend indicate that the “trade war” between the US and China has come to a 90-day truce.  This will almost certainly send the market higher on this evenings open, early calls are for beans to open anywhere from 20-40 cents higher.  Significant resistance this week comes in at 932 ¾, this represents resistance on July 31st.  Much of the move higher will likely be spurred by short covering over renewed optimism.

 

To get our full report emailed to you, click HERE or email Oliver@BlueLineFutures.com.

 

Wheat

 

Last Week’s Close:  March wheat futures finished Friday’s session up 7 ¾ cents, extending gains for the week to 9 cents.  Futures traded in a 15 ¼ cent range through the week.  Friday’s Commitment of Traders report showed funds bought 898 futures through November 27th, narrowly trimming their net short position to 38,744 contracts.

 

Quick Take:  Wheat futures will likely benefit from spillover strength from soybeans and corn, when markets open this evening.  Early calls are for wheat to open up anywhere from 7-15 cents higher.  First meaningful resistance to start the week comes from 525-529, this pocket represents the 50 day moving average, along with several previously important price points. 

 

To get our full report emailed to you, click HERE or email Oliver@BlueLineFutures.com.

 

Live Cattle

 

Last Week’s Close:  February live cattle finished Friday’s session up .225, trimming losses for the week to .75.  Futures traded in a range of 3.05 through the week.  Friday’s Commitment of Traders report showed funds bought 7,669 futures through November 27th, expanding their net long position to 62,004 contracts.

 

Quick Take:  Cash cattle came in from 118.00-118.50 Friday afternoon which was probably enough to give the market a boost on tomorrow morning’s open.  Now the market has something else to get excited about, and that is the positive news coming from the G-20 summit.   First resistance to start the week comes in from 121.75-122.25.  We will likely let the dust settle before taking any new positions. 

 

To get our full report emailed to you, click HERE or email Oliver@BlueLineFutures.com.

 

Feeder Cattle

 

Last Week’s Close:  January feeder cattle finished Friday’s session down .75, extending losses for the week to 4.25.  Futures traded in a range of 5.25 through the week.  Friday’s Commitment of Traders report showed funds bought 1,265 futures through November 27th, trimming their net short position to 3,387 contracts.

 

Quick Take:  Feeder cattle will likely benefit from the positive headlines and open higher tomorrow morning.  First resistance to keep an eye on comes in from 147.775-148.075.  If the bulls can chew through this pocket and achieve a close above, we could see an extension back towards 149.925-150.175, this pocket represents recent highs, the 50 and 100 day moving average, and the original breakdown point from November 5th. 

 

To get our full report emailed to you, click HERE or email Oliver@BlueLineFutures.com.

 

Lean Hogs

 

Last Week’s Close:  February lean hogs finished Friday’s session up .125, trimming losses for the week to .60.  Futures traded in a range of 4.125 through the week.  Friday’s Commitment of Traders report showed funds sold 876 futures through November 27th, trimming their net long position to 41,222 contracts. 

 

Quick Take: We would not be surprised to see lean hog futures make new highs in the early hours of tomorrow’s trade.  Positive news from the G-20 will benefit every ag market in the near term, and lean hogs are not exempt.  The bulls want to achieve consecutive closes above 69.50 to encourage another big wave of buying. 

 

To get our full report emailed to you, click HERE or email Oliver@BlueLineFutures.com.

 

 

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