What’s Up, What’s Down: Spotlight on Grains
Comments for August 31, 2011
Looking ahead to Wednesday by reflecting back on Tuesday’s trading
Futures and options trading is speculative in nature and involves substantial risk of loss. Futures and options trading is not suitable for all investors
CORN & BEANS CAME ROARING BACK
FUTURES AND OPTIONS TRADING IS SPECULATIVE IN NATURE AND INVOLVES SUBSTANTIAL RISK OF LOSS. FUTURES AND OPTIONS TRADING IS NOT SUITABLE FOR ALL INVESTORS.
GRAINS: 8/31/11 Higher closes yesterday for corn, rough rice, soybeans, soymeal and soyoil while lower for Minneapolis, Kansas City and Chicago wheat. Minneapolis, KC and Chicago continue to be in uptrends though lagging behind the corn and bean complex. Minneapolis has resistance over 860(Dec.) and Chicago over 850 and support below 750. What this means, technically, is that the wheat complex does have room to move higher with little technical resistance along the way. However, since the corn and bean complex are very strong mainly due to spotty yields, the wheat will most likely be on the short end of most inter-grain spreading. Oats settled down ten cents following Monday’s reversal type action with strong support under 370(Dec.). Their resistance area is roughly between 390 and 410. Rice made a new CONTRACT HIGH AND CLOSE while corn made a new CONTRACT HIGH CLOSE roaring back in the last hour after being lower throughout most of the night and day sessions. Beans and meal made new CONTRACT HIGHS AND CLOSES again while oil finished sharply higher now near a possible buy signal. BUY SIGNALS FOR MINNEAPOLIS AND KANSAS CITY WHEAT ALONG WITH ROUGH RICE, SOYBEANS,SOYMEAL, OATS AND CORN. CALL FOR DETAILS!
Labor Day holiday trading hours schedule now posted at HOT TOPICS page of my website
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.