Watch us on RFD-TV, today at 9:45 AM CT! Corn (December)
Fundamentals: Corn futures are drifting lower in the early morning trade as fears of adverse weather in the northern plains seem mostly baked into the cake, coupled with exceptional conditions in the south. Crop progress will be out this afternoon, analysts are looking for unchanged to slightly lower good/excellent ratings. Friday’s Commitments of Traders report showed Managed Money were net buyers of 13,675 contracts through July 20th, putting their net long position at 218,563.
Technicals: In our Friday morning report we wrote about a break and close below support from 547-552 ¼ could open the door for a run at trendline support and the 100-day moving average, which comes in in the mid 530’s. December corn futures initially opened higher, but turned negative shortly after, trading down to the 100-day moving average and our key support pocket, 533-536. The market has been able to defend this pocket through much of the morning, if that support is unable to hold through today’s session, we could see the selling continue to take prices closer to the psychologically significant $5.00 handle.
Bias: Neutral/Bearish Previous Session Bias: Neutral/Bearish
Resistance: 573 ¼-575****, 588 ½-591 ¼*** Pivot: 547-552 ¼ Support: 533-536***, 507-514****, 500 ¼** Soybeans (November)