April 24th 2012
Grain Marketing Specialist
Corn: 2 higher
Continued Chinese purchase rumors pushed us higher yesterday and look to carry though again today. Have we found the relative price that makes US the best option? Planting Progress yesterday afternoon at 28% nationally compared to 17% last week, 8% last year and 15% average. For the July contract I look for resistance at 6.17, 6.33 and 6.60 with support at 5.91. Dec I look for resistance at 5.56 and 5.69 with support at 5.23. I am optimistic that we will test these resistance levels but don’t believe that it will stick around for long. As I write this the dollar is lower and crude oil is moderately higher also supportive.
Soybeans: 10 higher
USDA planting progress out at 6%. Soybeans spent the day softer yesterday as we appear to be falling into a range. On the bottom side for the Nov contract is trend line which continues to hold (illustrated below) until we get a close below that level I am not panicking. Upside objective on Nov contract remain to be the 14.00 level and 14.72 for the July.
Wheat: Winter wheat 2 higher, Spring wheat unchanged
USDA crop condition report did in fact raise winter wheat conditions 64% g/e compared to 61% last week, 36% last year and 49.6% on average. Spring wheat planting progress at 57% vs 19% on average. Not much too bullish here. Some frost fears still remain but have done little damage to this point.
The information contained above was taken from sources which Wheat Growers believe to be reliable, but is not guaranteed by Wheat Growers as to accuracy or completeness and is made available for information purposes only. There is a risk of loss when trading commodity futures and options.