Dec Wheat - 2 to 3 Lower
Dec Corn - Steady
Nov Beans - 1 to 3 Lower
This was from yesterday's weekly/December corn comments:
"If the 473.5 double bottom fails to bring out the whale buyers this week, the June 2019 high price was 468 as you will see on the corn weekly chart." The whale buyers actually front ran the 2019 high of 468 today and bought at 469 and above.
This means that the big funds did not wait for corn to sell off to 468 before they bought. There was too much demand above 469. There were more than 50,000 contracts executed below 473.50 today, many of them sell stops.
The total day session volume was about 92,000 contracts. 50,000 of that volume was between the prices of 471.50 and 470.50. This tells me that the 469-468 level is a confidant low - The fund buyers will continue to defend price below 471.50 .
I am looking for corn to rally back above 473.50 and stay there - then we will have a confirmed fakeout/shakeout.
Check out the 2 hour December Corn chart with the trading ladder. Not only can you see the outstanding volume bar at the bottom of the chart, you can also see the volume histogram on the left side of the ladder between 471.50 and 470.5.
There are 5 ticks (5 spaces ) that each has between 9000 and 11,000 contracts traded - More than half the volume on the day occurred in a 1 cent range, whereas the entire day session was a 7.5 cent range.
Said another way, more than 50% of the trading volume took place in 13% of the price range of the day. The day session trading range was from 476.5 to 469, yet most of the demand was between 471.50 and 470.50. This volume is very strong hands.
The green and red numbers are buy and sell limit orders resting in the December Corn market. The numbers represent the amount of contracts at each price. The volume bars are the horizontal steel-blue bars on the far left.
"Support for this week should be from 588 to 582 on the 2 hour December wheat chart." From yesterday's wheat comments.
The fund buyers bought the 589 to 587 level today. The most likely scenario in wheat over the next 24-48 hours would be from 587, for an up leg to about 598-599, then another leg down to 583-580, afterwards. Resistance runs from 610 to 623.
Here is today's 2 hour December Wheat chart.
We are looking at the small triangle on the daily chart from the soybean weekly chart posted yesterday. The lower line comes in at 1309 for tomorrow's price bar and I expect the fund buyers to defend this level.
Here is today's daily soybean continuation chart.
Here is weekly beans again. The gray oval represents the daily chart above - for perspective.
Crude Oil is continuing to rally towards 93.50, where the likelihood of a correction back to the 90 area will be good. Tonight rolls to the November contract. Here is the current crude daily continuation chart.
Comentários