Live Cattle (October)
Cattle futures started today’s session on a mission but failed to sustain that momentum into the afternoon session. As mentioned in our weekend report, the lack of enthusiasm after a hard break is a caution flag. We would like to be buyers with clients but believe that we will have a better opportunity in the future. For the October contract, the bulls want to defend 97.775, contract lows from Friday. On the resistance side of things, the bulls need to see consecutive closes out above last Tuesday’s high of 100.925. Cash trade last week cam in from 105-107, early expectations are for another 1-2 lower this week.
Resistance: 100.60-101.00****, 103.75-104.85***
PM Boxed Beef / Choice / Select
Current Cutout Values: / 239.13 / 214.52
Change from prior day: / .44 / 1.26
Choice/Select spread: / 24.61
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.