Technically Speaking

Weekly Analysis: Grain Markets

Corn (Cash): The DTN National Corn Index (NCI.X, national average cash price) closed at $3.50, down 1 cent for the week. The secondary (intermediate-term) trend is sideways-to-up with support at the recent low of $3.36 and resistance the 4-week high of $3.57. Weekly stochastics are bullish, indicating the market could move back into an uptrend with a target area between $3.67 and $3.80.

Corn (Futures): The March contract closed 0.75ct lower at $3.74 1/2. Despite posting a new 4-week low of $3.62 1/2 last week the secondary (intermediate-term) trend still looks to be sideways. Resistance remains at the 4-week high of $3.82. Despite the lower close, weekly stochastics are bullish.

Soybeans (Cash): The DTN National Soybean Index (NSI.X, national average cash price) closed at $8.46, up 20 cents for the week. The secondary (intermediate-term) trend remains up with the NSI.X posting a bullish outside week last week. Still, cash soybeans need to move to a new 4-week high above $8.61 to establish a bullish breakout. Weekly stochastics are bullish.

Soybeans (Futures): The March contract closed 19.00cts higher at $8.92 3/4. Bullish weekly stochastics continue to indicate the secondary (intermediate-term) trend is up. Initial resistance remains at the 4-week high of $9.11 1/2. Strong support continues to come from the uptrend in the January to March futures spreads that saw its carry trimmed to 1/2 cent at Friday's close.

SRW Wheat (Cash): The DTN SRW Wheat National Index (SR.X, national average cash price) closed at $4.40, down 3 cents for the week. The SR.X remains in a wide ranging secondary (intermediate-term) sideways trend. Initial support is at $4.20, then $4.11. Initial resistance is at the high of $4.54, then $4.77.

HRW Wheat (Cash): The DTN HRW Wheat National Index (HW.X, national average cash price) closed at $4.22, unchanged for the week. The secondary (intermediate-term) remains up as the HW.X posted another new 4-week high of $4.32. However, the marked continues to struggle maintaining bullish momentum.

HRS Wheat (Cash): The DTN HRS Wheat National Index (SW.X, national average cash price) closed at $4.81, down 6 cents for the week. The secondary (intermediate-term) trend remains down following the recent bearish crossover by weekly stochastics. Support is between $4.83 and $4.73, prices that mark the 33% and 50% retracement levels of the previous uptrend from $4.44 through the high of $5.02.

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