March Wheat - 1 to 2 Lower
March Corn - 1 Lower
March Beans - Steady
As anticipated, March Corn and Beans had a back and forth trading day. The Soybeans began last night selling off to 1474 then rallied to 1501 during the day session before selling off again to close at 1485.75, down 2.75 for the day.
Resistance for March Soybeans is 1508 and support comes in between 1465 and 1457 on the lower side. These numbers are good through the report on Thursday. Here is a zoomed in March Bean chart so you can clearly see the range we are talking about.
Notice the upper up trending blue line on the March Soybean meal daily chart. It served as resistance before and today it became support for the bullish Bean meal market.
March's Corn action mirrored that of beans today with the down - up - down, but managed to close with a small net gain on the day of 2.25, ending at 655. Corn expanded the range it has been in out the top side, but closed back below the previous high of the range, accomplishing virtually nothing today, as expected.
For tomorrow and Thursday corn resistance comes in around 672 and support is at 646. Check out the zoomed in March Corn chart highlighting the right shoulder (higher low) of it's pattern.
After stopping out the sellers two times yesterday, March Wheat cleaned out some more fund longs today by selling down to test the August and December low in the 723 vicinity. This is how these patterns exhaust themselves - back and forth ad nauseum.
The low was printed at 720.50 during the first 30 minutes then in V-shape fashion, rallied straight up to 739.75 while stopping shorts out. March Wheat settled back about 62% of this rally. Are we done selling yet? I think so, but?
I am still count 5 swing points in March Wheat, even though 5 was lower than yesterday - the downside was vulnerable. These broadening patterns normally exhaust after 5 swings have been completed. The triple low since August in the 720-725 range should be serious support where the fund longs will defend, and resistance lies at 760, the lower blue line at the top part of the pattern. You will see what I mean here on the 1 hour March Wheat chart.
Update on the S&P situation: The March S&P successfully broke the upside of it's 3 week range today by closing at 3941, up about 15 points from the top of the range. I am calling it a success because yesterday broke upwards also but then corrected and closed below the top tier line while today the S&P closed above that line. I think you will understand when you see the chart here.
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