Livestock Roundup

Live Cattle (April)

April live melted into our technical support pocket yesterday, we have defined that as 118.35-119.10. This pocket represents the low end of the recent range and the 50% retracement from the September lows to the contract highs. We are wanting to see prices defend this pocket on a closing basis to offer the market more of a relief rally, which we would likely work with clients to sell into (for hedgers and speculators). The RSI (relative strength index) is at 27.98, technically oversold.

Resistance: 121.225-121.80***, 123.075-123.45***

Pivot: 120.125-120.30

Support: 118.35-119.10****, 116.70****

Contact Oliver with any comments/questions, or to get our daily reports emailed to you!

call/text/email: 312-837-3938, or

Feeder Cattle (March)

March feeder cattle tested and held technical support in yesterday’s session, we have defined that pocket as 133.25-134.20. If the bulls fail to defend this pocket, we could see a “whoosh” lower, with little meaningful support until the 130 and below area. On the resistance side of things, the bulls want to see consecutive closes back above 136.95-137.30, this pocket represents previously important price points and the 50% retracement from contract lows to the triple top highs at 147.75.

Resistance: 138.80-139.25****, 140.80-141.125**

Pivot: 136.725-137.25

Support: 133.25-134.20****, 130.025-130.30**, 126.05-126.40****

Contact Oliver with any comments/questions, or to get our daily reports emailed to you!

call/text/email: 312-837-3938, or

Lean Hogs (April)

April lean hogs failed to find follow through yesterday and are a stones throw away from filling the gap from Friday morning, 64.875. We think that the market can work back to the original breakdown point above the $70 handle, but it won’t be a straight shot, so buckle up.

Resistance: 67.95-68.675***

Support: 64.375-65.025**, 61.00***

Futures trading involves substantial risk of loss and may not be suitable for all investors. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.

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