July Wheat - 2 to 4 Lower
July Corn - Steady to 2 Higher
July Soybeans - Steady
Went long (buy) July Soybeans at 1584 limit Today. The sell stop is 15 cents lower at 1569 (the risk is 15 X $50 = $750). My target is 1675 ($4550 potential reward) which is just above the high (1667) on 5/5, last Thursday.
Went long buy) July Corn at 771 ^4 limit with a 763 sell stop. The risk is 8.5 X $50 = $425. The initial target is 798 ($1325 potential reward).
A buy limit order is placed below where the market is currently trading any given minute of the trading session. When corn was trading at 773 I placed limit buy at 771^4 and it traded down to 770^2 so it filled.
A sell stop order is placed below the current market as well. This order will stay in the market until the trader cancels or it gets filled. The function is to limit ones risk for a trade. It works is filled when /if the market trades down to the stop order Then, it triggers a sell at the market (immediately).
My reasons for the trade are mostly the factors I have been discussing since last week - the 35-38 day cycle, July soybeans traded within a 1.25 cents of the April 4 low today (testing a previous low), the overall capitulation occurring last Thurs & Fri (the major fund buying happening after the opening and before the close). Also the stock market which has been selling aggressively (pressuring the grains) since March 30 may have found temporary support based on the technical picture of the S&P 500, Finally, to further pinpoint the entry - I used the 5 minute chart pattern in both July Soybeans & Corn. Here is the 5 min Corn Chart:
July Wheat is trying to buy up the 1147 area. Wheat sold off to 1090.25 today. There is good support is in the 1080 area.
June Crude Oil update - The 106 level failed to hold support in today's trading session. The trade took price all the way down to 102.13 which is another level of downtrend support. 102.13 is also between the 50%-62% Fibonacci level - A retracement of the last up move that traded to 111.37 and began at 95.28.