AUDIO COMMENTARY

Grains taking it on the chin
Weather & war driving the markets
More rain and less heat in forecasts
Some negative China headlines
Fear we won’t get sales to China
China opposed some US decisions
Crop ratings bounced the market but forecasts have the market thinking we won’t deteriorate further
Demand remains very strong
Still have impacts from Super El Niño
Longer term there is still tons of potential
Short term you have to realize the risks
Balance sheet needs trend yields
There is a better chance of higher prices than we’ve had the last several years
If you don’t have time be proactive
Be comfortable riding the bearish storms
What if demand doesn’t go away?
Watch basis. Have a plan for basis contracts
Where soybeans need to hold (charts below)*

Listen to today’s audio below

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SOYBEAN CHARTS

Nov Beans 🌱

We are now sitting at that shelf of volume.

We would like to hold this shelf and see us turn those old May highs into our new floor.

If we cannot do that, there is a volume gap of air lower.

Aug Beans 🌱

We are approaching that golden zone.

As we have given back 50% of the entire rally already. Which lines up with the upper end of that old range from spring.

If we lose this level, the next level is the 61.8% level and the bottom end of that old range.

So bulls want to hold this zone, and this zone would be where we would want to see a bounce.

If we lose $11.60 there is plenty of air to the downside via the volume gap. And breaking the 61.8% level would not be a good sign for the short term trend.