Have Cattle Hit a Wall?

Cattle futures have officially filled the gap, is there any more upside left?

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Live Cattle

Technicals (December – Z)

December live cattle futures officially filled the gap yesterday, an impressive comeback from where things were just about a week and a half ago. If the Bulls can keep the momentum going, the next upside objective would be the 50-day moving average at 186.28. Personally, I think this area represents a good opportunity for Bulls to reduce exposure and Bears to consider positioning.

Resistance: 186.275**

Pivot: 183.65-184.625

Support: 182.00-182.50***, 175.85-176.55***

Check out yesterday’s 2-Minute Drill, breaking down the technical landscape for February live cattle futures:

2-Minute Drill: Live Cattle & Crude Oil – Blue Line Futures

Seasonal Tendencies

Below is a look at historical seasonality’s (updated each Monday) VS today’s prices (black line).

*Past performance is not necessarily indicative of futures results.

Feeder Cattle

Technicals (January – F)

Feeder cattle futures finally kicked it into gear yesterday staging an impressive 4.15 rally which took prices back near the gap from October 23rd. This pocket from 242.32-243.05 will be a big inflection point for the market. If the Bulls can chew through and close above, the next upside objective would be 244.65.

Resistance: 242.32-243.05***, 244.65**, 246.42

Pivot: 239-240

Support: 233.37-234.95***, 229.00-229.50**

Seasonal Tendencies

Below is a look at historical seasonality’s (updated each Monday) VS today’s prices (black line).

*Past performance is not necessarily indicative of futures results.

Lean Hogs

Technicals (December – Z)

Lean hogs only needed one day to catch their breath, which rejuvenated the market yesterday, breaking back above the 50-day moving average for the first time since September which opens the door for a retest of the 100-day moving average at 73.80

Resistance: 71.92-72.10***, 74.00-74.500***

Pivot: 70.00-70.25

Support: 67.32-67.80***, 65.40-65.67**

Seasonal Tendencies

Below is a look at historical seasonality’s (updated each Monday) VS today’s prices (black line).

*Past performance is not necessarily indicative of futures results.

Oliver Sloup, VP & Co-Founder, Blue Line Futures

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