July Wheat - 1 to 2 Higher
July Corn - 2 to 3 Lower
Dec Corn - 3 to 4 Lower
July Soybeans - 2 to 3 Higher
Most markets including the stock market were selling off hard today (S&P down over 120 at one point). Gold was selling today - down over $50. The ES futures gapped down on last night's open producing either a midpoint (measuring) gap which measures down to 3631 in the ESU futures, - this is down about another 135 points from 2:20 CDT trade - - or an exhaustion gap which means the end of selling is today - we will know more by tomorrow.
Perhaps by tomorrow's grain close the mass sell pressure will be relieved. I'm thinking this event is mass capitulation in many markets. We shall see. Interest rates skyrocketed today which means their price also fell hard. Rates are at an inverse to prices.
Dec Corn held up remarkably well in this context with Dec only down about -1.75, closing near 720 after bouncing from 708-710 area support - I anticipate a continued corn rally.
July (-37) and Nov beans were slaughtered today. Markets in general have to fake as many participants (storing up energy) as possible for a big move to occur. Beans still have a significant amount of UP pressure to expel - the longs are still in control.
The upside breakout in the July Bean chart was about 1728 - today was a very deep test of the breakout - enough to run a bunch of scared longs away. 9:45 CDT volume was peak (higher than open or closing volume) which means significant stopping (funds said enough selling at the lows). Please see the bean chart below going back before the Feb 24 buying capitulation where the 35-38 day cycle begins.
The weekly bean rally was 16 weeks from Nov '21 - Feb 24 this year, and this week marks 16 weeks of rangebound trade. Please refer to my 6/11 comments - energy is shifting to kinetic energy (motion). Today is the 34th day of the primary cycle I am marking - close enough? Overall the most important chart feature is continued higher highs and lows.
July Crude Oil Update: 117.47 was the low this morning. It reversed higher on good volume up tp 122.25. As expected Crude stayed in a range just below last Wed. and above last Thurs. I am in a wait and see mode (can it test 117 on the low side or 123 on the high side)? Going back to May 17 July Crude is in an up channel. Please notice the small recent gaps on the chart here - it stayed just below the upper channel line and remained slightly above the lower channel.