Daily Grain & Cotton Commentary (11.6.19)

Published on: 08:08AM Nov 06, 2019

Corn (December)

Fundamentals: Corn futures continued to bleed lower yesterday, marking the fourth consecutive lower close. Harvest pressure and concerns over dismal demand continue to be a thorn in the side of the bull camp. The weekly ethanol report and exports report will be watched closely, but traders will quickly move past that and look to Friday’s WASDE report as the big-ticket item. Early estimates are yields to be near 167.2 bushels per acre, down 1.2 from the previous report. Production estimates are coming in near 13.604 billion bushels, down from 13.779 in last month’s report.

Technicals: The market officially tested our first support pocket; we have defined that as 377-381 ½. We still believe this pocket represents value on the first test but need to see more of a springboard reaction. A close below here would not only neutralize our bias, but it would be near term bearish too, opening the door for a potential retest of....Sign up for your FREE two-week trial!

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Soybeans (January)

Fundamentals: Soybeans gave back some ground yesterday as some traders look to tighten up positions ahead of Friday’s WASDE report. Early estimates for yield come in near 46.6 bushels per acre, down from 46.9 in the previous report. Production is estimated to be at 3.512 billion bushels, down from the 3.550 in last month’s report.

Technicals: Yesterday’s failure at our pivot pocket led to moderate selling pressure. The bulls need to see a close above 940-941 ½ to encourage another leg higher. If the market can close above this pocket, we could see a swift run at....Sign up for your FREE two-week trial!

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Chicago Wheat (December)

Fundamentals: Wheat was able to buck the trend and work higher yesterday, spilling over into strength in the early morning trade. Friday’s WASDE report is the big-ticket item, earl estimates are for US ending stocks to be near 1.030 billion bushels, down from 1.043 in last months report. World ending stocks estimates range from 285.1-288.5 million metric tons.

Technicals: The market has moved back above our pivot pocket in the early morning trade, the bulls need to see this confirmed when we get more participation on the floor open. Consecutive closes above here could take us to retest our technical resistance pocket....Sign up for your FREE two-week trial!

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Kansas City Wheat (December)

Technicals: KC wheat futures managed to firm up yesterday, taking prices to the 100-day moving average at 430. The next and more significant resistance comes in from....Sign up for your FREE two-week trial!

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Cotton (December)

Technicals:  December cotton futures tried to rally yesterday but failed to find their footing. Our 4-star technical support pocket remains intact from....Sign up for your FREE two-week trial!

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