What’s Up, What’s Down: Spotlight on Grains
Comments for September 7, 2011
Looking ahead to Wednesday by reflecting back on Tuesday’s trading
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GRAINS: 9/7/11 Lower for rough rice, oats, corn, soybeans, soymeal, soyoil, Minneapolis, Kansas City and Chicago wheat. All of the grains continue to be in uptrends overall in spite of lower closes across the board. Wheat has been lagging behind the corn and bean complex overall which is understandable probably more to do with inter-grain spreading than anything else since the corn and beans have had spotty yields in many areas such as central and southern Illinois. Minneapolis has resistance over 960(Dec.) and Chicago over 850 along with support below 750. KC has support below 840 also. Although corn closed down it did rally to end up near its session’s highs. It’s strong support starts around 725 basis the December contract. The bean complex closed down with the beans and oil making small gaps although the oil ended up near its highs and should follow through higher, at least initially, on Tuesday based on this action. On the other hand meal made its lowest low and close in a week after settling sharply lower. Oats settled lower again while holding a strong support area, so far, that starts around 370(Dec.). Their resistance area is roughly between 390 and 410. Rice settled lower but looks extremely bullish overall. BUY SIGNALS FOR MINNEAPOLIS AND KANSAS CITY WHEAT ALONG WITH ROUGH RICE, SOYBEANS, SOYMEAL, SOYOIL, OATS AND CORN. CALL FOR DETAILS!
Rick Alexander has been a broker and analyst in the futures business for over thirty years. He is a Vice-President for Sales and Trading at the Zaner Group (www.zaner.com) a Chicago-based futures brokerage firm. Email Rick at ralexander@zaner.com or call toll-free (888) 281-4158.
Futures and options trading is speculative in nature and involves substantial risk of loss. Futures and options trading is not suitable for all investors. The information in this Report and the opinions expressed are subject to change without notice. All known news and events have already been factored into the price of the underlying commodities discussed.