December corn futures continued to retreat yesterday, trading back into our support pocket and holding. That pocket remains intact from 472-476. This is what we would view as a must hold pocket for the Bulls. A break and close below this pocket could trigger additional technical selling pressure. On the resistance side of things, the bulls need to see consecutive closes back above our pivot pocket from 480-482 to encourage another attempt at a relief rally.
The Pro Farmer Crop Tour released their findings from Day 2 yesterday, showing an average yield for Indiana at 180.89, that is up from last year's average of 177.85, but down from the 2020-2022 average, 183.72 On the Western side of the tour they showed an average yield for Nebraska at 167.22, that was up from 158.53 last year. The 2020-2022 average for Nebraska is 172.01. Today's eastern tour will cover the second half of Illinois and work into Iowa.
There was a flash-sale reported yesterday morning:
Of the total, 112,000 metric tons is for delivery during the 2024/2025 marketing year and 112,000 metric tons is for delivery during the 2025/2026 marketing year.
Resistance: 502-506 1/2***, 518-525 3/4****
Support: 472-476****, 460-464 1/2**
Below is a look at seasonal averages for December corn. The 5-year seasonal average suggests seasonal consolidation while longer term averages continue to trend lower.
November soybeans are pulling back into support which we outlined in yesterday's report as the 50 and 200 day moving averages. A failure to defend these levels could open the door for a retest of the psychologically significant $13.00 level. On the resistance side, the Bulls want to see a close back above 1350-1355.
Day 2 of the Pro Farmer Crop Tour showed pod counts in Indiana at 1,309.96, that's up from last year's 1165.97 and up from the 2020-2022 average of 1228.94. Pod counts in Nebraska were reported at 1160.02, up from last year's 1063.72 but down from the 2020-2022 average of 1196.02.
Support: 1324-1334***,1292-1300***, 1256-1260***
Below is a look at seasonal averages for November soybeans.
For more information, visit BlueLineFutures.com
Images courtesy of Blue Line Futures, LLC
Futures trading involves a substantial risk of loss and may not be suitable for all investors. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete, and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.