What’s Up, What’s Down: Spotlight on Grains
Comments for July 13, 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 CLOSES STRONG BUT THERE’S STILL TECHNICAL RESISTANCE
GRAINS: 7/13/11 Higher closes yesterday for soybeans, soymeal and soyoil along with rough rice, oats, corn, Kansas City and Chicago wheat while lower for Minneapolis wheat. The wheat complex continues to look lower overall with Chicago holding a strong support area off the weekly chart. Minneapolis made its worst low since March again while KC had its lowest low since August 2010 before settling higher in reversal type action. Chicago had a large range making its best high and close in a week. Oats had its best high and close in almost three weeks causing a failed bear triangle and now could rally up to the 390 basis the December contract and also forcing me to the sidelines for now. Rice had its best close since February 14th giving me a BUY SIGNAL. Corn rallied sharply mainly off a bullish carryover also making its best high and close in almost two weeks still in a major resistance area between 625 to 675.The bean complex setted higher again with the beans and meal closing up for their seventh session in a row.its. Oil continues to lag behind off of meal/oil spreading. I remain on the sidelines for the bean complex at this time. BUY SIGNAL FOR ROUGH RICE. SELL SIGNALS FOR CORN, MINNEAPOLIS, KANSAS CITY AND CHICAGO WHEAT. CALL FOR DETAILS!
In early morning trading the Grains sector is trading up 0.90%, from yesterday’s closing prices. There are eight futures contracts which comprise the Grains sector; and Grains are one of eight sectors featured in my Futures HeatMap – a color coded guided to the various market segments strengths and weaknesses. View the HeatMap at https://www.markethead.com/2.0
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.