SPREADS

Dec crush trades up to 1.00c/bu while oilshare trades to 45.98%.  Spreads trade from 7 1/2c to 7 3/4c for Dec/March, while Dec 21/22 inverse trades from a low of 19 3/4c to 22 1/2c.  Dec /March wheat widens out to 12c from 11 1/2c.  Dec wheat/corn trades down to 1.79 1/2c from 1.84 1/4c.   Nov/Jan bean carry trades from 9 3/4c to 10c, while the Nov 21/22 inverse trades from 28c down to 26 1/2c.

PALM OIL 

Malaysian palm oil cash offers were lower for RBD palm oil, down $5.00.

NEWS

Stocks are down 108 pts while crude oil trades to a new ctr high.

CALLS

Calls are as follows:

beans:  5-7 lower

meal:  .80-1.00 lower

soyoil:  30-50 lower

corn:  1-1 1/2 lower

wheat:  1-1 1/2 lower

canola:  4.00-5.00 higher

Since the soy complex dominated the close with a sell-off, it could make the grain highs at the close harder to take out.  However, corn may continue to see buying interest on pullbacks in spite of soy weakness.

TECHNICALS

November Beans:  Prices could not get over the $13.00 level and the 200 day moving average is under the market at $12.78.  Would likely look for further consolidation trade from $12.80 - $13.00.  Falling back towards key averages is never a sign of strength, but would look for prices to likely hold at the lows for a move up again towards $12.95.

first support:  $12.78/$12.82

resistance:  $12.90/$12.92

possible range: much the same or higher

December Soyoil:  Prices back towards key support at 5750c, which may hold for the day.  Would look for the friendly price action recently to target 60c eventually.   The trend is slightly higher with pullbacks holding.  Look for a possible 56c-60c trading range.

first support: 57c-5725c

resistance:  58c to 5850c

possible range; much the same 

December Meal:  Chart is sideways from $335.00-$345.00, but spike highs that fail are never a sign of strength.  Prices test the low of $338.00 once more, and if it holds with any trade over $345.00 would become a nice base of support.  So far, the chart is slightly sideways to lower, suggesting that a further break may take place.

first support: $338.00

resistance:  342.00

possible range: much the same

December Corn:  breaks out to the upside yesterday over $5.35 which resulted in a new high of $5.40.  Today the modest pullback sees an uptick in buying interest, with the placement of another new high today.   First support moves up to $5.30/$5.33, and resistance back towards $5.43/$5.45.

first support: $5.33/$5.35

resistance:  $5.42/$5.43

possible range: much the same or higher

December Wheat:  Trading range in its whole is from $6.88 to $7.35.  The pullback in the PM session was to $7.15.  Good support crosses under the market at $7.00-$7.02.  Would look for wheat to maintain its range, but is also subject to making new highs.  

first support: 7.12-$7.15

resistance:  $7.22/$7.25

possible range: much the same

DECEMBER WHEAT

Trading range is from $6.88-$7.35.  Prices back and fill with the 100 day moving average and major trendline support crossing at $7.00.   Would look for a possible pullback to this major support zone, but converging lines at $7.00 make a case for an initial hold should we get there.  Look to continue to consolidate trade from $7.00-$7.35.

TAGS – Feed Grains, North America