Technically Speaking

Weekly Analysis: Grain Markets

Source; DTN ProphetX

Corn (Cash): The DTN National Corn Index (NCI.X, national average cash price) closed at $3.09 1/2, down 2 cents for the week. Despite the lower weekly close the secondary (intermediate-term) trend remains up. Initial resistance on the weekly close chart is $3.12 1/2, a price that marks the 23.6% retracement level of the previous downtrend from $4.00 1/2 through the low of $2.85 1/4. The 33% retracement level is up near $3.23 1/2.

Corn (Futures): The December contract closed 1,75cts lower at $3.52 1/2. The market remains in a secondary (intermediate-term) uptrend. Initial resistance remains at the recent high of $3.59 1/4. Beyond that resistance is pegged at $3.66, a price that marks the 38.2% retracement level of the previous downtrend from $4.49 through the low of $3.14 3/4.

Soybeans (Cash): The DTN National Soybean Index (NSI.X, national average cash price) closed at $9.12 1/4, 18 1/2 higher cents for the week. The NSI.X continues to indicate its secondary (intermediate-term) trend is up, a move that could be confirmed with a move to a new 4-week high beyond last week's peak of $9.12 1/4. When this occurs, initial resistance is pegged at $9.32, a price that marks the 23.6% retracement level of the previous downtrend from $11.08 1/2 through the low of $8.77 3/4.

Soybeans (Futures): The November contract closed at $9.83, up 20 1/2 cents for the week. The secondary (intermediate-term) trend looks to be up. Confirmation of this would be a move to a new 4-week high beyond last week's peak of $9.89 3/4. When this occurs initial resistance is pegged at $10.18, a price that marks the 33% retracement level of the previous downtrend from $11.86 1/4 through the recent low of $9.34. The 50% retracement level is up near $10.60 1/4.

SRW Wheat (Futures): The December Chicago contract closed at $4.14 1/2, down 6 1/2 cents for the week. Despite the lower weekly close the secondary (intermediate-term) trend remains up. Dec Chicago has slipped back to test resistance near $4.11 3/4, with initial resistance pegged at $4.46. The latter price marks the 23.6% retracement level of the previous downtrend from $6.38 through the low of $3.86 3/4.

HRW Wheat (Futures): The December Kansas City contract closed at $4.21 1/2, up 3 3/4 cents for the week. The secondary (intermediate-term) trend remains up as Dec KC wheat moved to a new 4-week high of $4.28 1/4. Weekly stochastics remain bullish after the recent crossover below the oversold level of 20%. Initial resistance is up near $4.58 1/2, a price that marks the 23.6% retracement level of the previous downtrend from $6.65 through the low of $3.95.

HRS Wheat (Futures): The December Minneapolis contract closed at $5.29, up 1/2 cent for the week. While the secondary (intermediate-term) trend remains up, the minor (short-term) trend remains down. Initial minor support is at $5.18 1/2, a price that marks the 33% retracement level of the previous minor uptrend from $4.80 1/4 through $5.38. The 50% level is down at $5.09.

To track my thoughts on the markets throughout the day, follow me on Twitter:www.twitter.com\Darin Newsom

Comments

To comment, please Log In or Join our Community .