Barchart grains Futures Prices: Corn futures for December were able to recover from their weakness in the early morning trade yesterday, which helped stabilize prices over the overnight and early morning session. The Crop Progress report from yesterday indicated that 37 percent of the crop has reached maturity, and harvesting in the United States is only 4 percent complete.
As was said in the report that was published yesterday, now that the USDA report is behind us and the weather is becoming a less significant issue, the focus will shift primarily to money flow and technicals.
Barchart grains Futures Prices
Technical analysis shows that the market is attempting to create a base in our pivot pocket between 507 and 514 14, which is assisting in moving the bias from neutral with a bearish tilt to neutral in its entirety.
If the Bulls are successful in breaking through this pocket and achieving a conviction close or consecutive closes above this pocket, we may see further relief that takes us to past breakdown points in the vicinity of 530.
The United States Department of Agriculture (USDA) made another announcement on a flash sale Tuesday morning. This time, the sale involved 132,000 metric tonnes of soybeans that were to be delivered to unspecified locations during the marketing year of 2021/2022.
In the early morning trade, soybean futures are trading higher on news indicating that China has been active purchasing beans, with 8 cargos coming out of Brazil and two coming out of the Pacific Northwest.
Similar to the situation with maize, the market is attempting to construct a near-term base against our pivot pocket which is located between 1286 1/4 and 1292. This leaves the door open for the possibility of a retest of the more significant resistance region located between 1300 1/2 and 1306 3/4. A breakout above this pocket has the potential to ignite a larger relief rally.
Wheat futures are making a strong comeback toward our pivot pocket, which is located between 698 3/4 and 703, following corn and bean futures to their respective pivot pockets. If the Bulls are successful in breaking through this pocket, there is a chance that the lead will be extended to 718 1/2 or 723 1/2. These are near-term targets to keep an eye on if you had bought near technical support, either for short covering or fresh long positions.