ao link

Markets Extra

Linked In
RSS
https://twitter.com/Agrimoney
http://www.newsnow.co.uk/h/Industry+Sectors/Agriculture

Longer-term technical chart price levels and objectives in US grain futures

TwitterLinkedineCard

It’s always prudent for traders to examine longer-term price charts, in order to obtain an important bigger-picture price perspective on where prices have been and where they may be going.

 

Markets’ chart price history shows that when trending, prices tend to gravitate toward recent historical highs or lows.

 

The weekly continuation chart for nearby US corn futures shows prices in May popped sharply higher and hit a five-year high of $4.64 1/4.

 

That is now the next major resistance level on the weekly chart, and if it’s cleared on the upside, look for a quick challenge of major psychological resistance at $5.00.

 

On the downside, there is some strong longer-term technical support at the $4.10 level, basis nearby corn futures.

 

Below that lies major psychological support at $4.00 and then more longer-term chart support at the $3.85 area.

 

Presently, the longer-term charts favor the corn market bulls.

 

For US soybeans, the weekly chart argues that the rebound from the 10-year low of $7.80 1/2 scored in May is so far just a corrective bounce in a longer-term bear market.

 

Nearby soybean futures would have to push above this year’s high of $9.31 1/4 to give the bean bulls some fresh longer-term technical strength to then suggest a challenge of major psychological resistance at $10.00 a bushel.

 

On the downside from present price levels of around $8.85, longer-term technical support is located at $8.50 and then at $8.25. The soybean bears are presently keeping their longer-term technical advantage on the charts.

 

The soft red winter wheat futures market sees its longer-term technical posture neutral to slightly bullish.

 

In May, nearby soft red winter wheat futures hit a nine-month high of $5.58 and have since backed off.

 

That price level is now strong overhead resistance as seen on the weekly continuation chart for

nearby futures.

 

If $5.58 is cleared on the upside, the door would be opened to a rapid move to psychological resistance at the $6.00 level.

 

Just below present soft red winter wheat futures prices lies major psychological support at $5.00, which if breached would see traders then challenging longer-term technical support at $4.75 and then at $4.50.

TwitterLinkedineCard
Related Stories

Evening markets: Grains suffer touch of late-week profit taking

The likes of corn and wheat trade lower in closing deals of a positive week. But the vegetable oil complex, and canola, stay strong

Failed hold-outs may foster dairy price gains at next week's GDT auction

Futures prices suggest modest gains in the offing at Tuesday’s GlobalDairyTrade auction - for whole milk powder, at least

Soybeans vs corn deadlock breaks in battle for acres

There has been some movement at last in the new soybeans-versus-corn price ratio, seen as an influence on sowing area. Cotton stakes its claim too

Microsoft mogul makes a mint out of betting the farm

Prices of US farmland, of which Bill Gates is the biggest owner, are rising at their quickest since 2012
Home | About | RSS | Commodities | Companies | Markets | Legal disclaimer | Privacy policy | Contact

Our Brands: Comtell | Feedinfo | FGInsight

© Agrimoney.com 2021

Agrimoney.com and Agrimoney are trademarks of Agrimoney Ltd
Agrimoney is part of AgriBriefing Ltd
Agrimoney Ltd is registered in England & Wales. Registered number: 09239069