SUNDAY WEATHER & USDA TOMORROW
AUDIO COMMENTARY
Cattle failed to hold yesterday’s reversal
Inside day in cattle despite big move
China bought more beans again
Want to see larger volumes to China
Some SA crop concerns with Super El Nino
Why are we finally selling beans to China?
USDA historically doesn’t do much tomorrow
Yield debate will ramp up soon
Demand is getting stronger. What is supply if not?
If bean yield slips, we would have to heavily ration export demand because crush isn’t going anywhere
Weather Sunday night will be huge
Be comfortable if we go higher or lower
Don’t be a deer in the highlights
Wheat crop didn’t get bigger vs last USDA
Must hold levels for cattle (chart below)*
Chart breakdowns below audio*
Listen to today’s audio below
Want to talk?
Office: (806)484-1214
CHARTS
Aug Soybeans 🌱
Struggling at this area of high volume.
Need to hold this old range or there is plenty of air to the downside and a volume gap lower.
Everytime we’ve traded beneath this level we’ve sliced right through. Both higher and lower. On 4 separate occasions.
Nov Beans 🌱
Also struggling at an area of high volume. We also rejected some old trendline support.
Would like to see us bounce asap or we do have a volume gap to the downside.
Realistically, we could fall all the way down to the golden zone and the chart would still be in a technical uptrend. Which is the next area of high volume as well as prior resistance twice.
If we drop down there, that would be an area we’d expect some support. But we don’t have to get there either. Just pointing out the possible risks if we are unable to bounce soon.
Sep Corn 🌽
Need to hold today’s lows or we could head towards the golden zone. That zone also happens to be that major area of volume.
To the upside, we want to reward any move towards that 50% retracement.
Dec Corn 🌽
Also need to hold today’s lows at the 38.2% retracement or we could head towards the golden zone retracement levels (red box). Which is also an area of high volume.
This week we rejected right off that 50% retracement level. As we mentioned earlier this week we want to defend any move towards $4.65-$4.70.
Sep KC 🌾
We’ve got clear resistance at yesterday’s highs.
If we can break above that level, perhaps we could make a run towards $6.85 to $7.00. Which would claw back 50% to 61.8% of the sell off.
We still have to be cautious of the possible head and shoulders pattern.
Absolutely need to hold those recent lows as there is zero support below.
Aug Live 🐮
At an important spot here.
The golden zone and 61.8% fib. Which is where we previously found a bottom.
If we break below this level, there is plenty of downside risk and it would be a warning sign.
Aug Feeders 🐮
Also sitting at an important spot.
If we are unable to hold yesterday’s lows, there is plenty of downside risk.
So sitting at a must hold spot in cattle.
Want to Talk?
Our phones are open 24/7 for you guys if you ever need anything or want to discuss your operation.
Jeremey & Office: (806)484-1214
Sebastian: (605)280-1186
Email: sfrost@dailymarketminute.com
Hedge Account
Interested in a hedge account? Use the link below to set up an account or give us a call.