FOR TUESDAY: (7/24) Crop conditions came in better than expected and beans may continue to come off as will corn. We had Tuesday lower and wonder if the trade will do their late July sell-off. We probably have to get something short if you are not in as we never go to 875 for beans. Wheat may get dragged lower.
TODAY’S COMMENTS: (7/24) Need to get something on in case this market collapses quickly on the better crop conditions. Mostly the market is lower this week, with Wednesday offering a small chance for a rally if it doesn’t collapse on Tuesday. Hedgers need to take protection. Market has hit minimum target overnight and not sure weather is cooperating for the bulls to get too much more. Always worried about late collapses the last week of July when it seems that the crop has enough rain for pollination.
OVERALL: The point-and-figure chart turned up, projecting 875-876 or max. 906 if the cool and dry situation continues. Will need a lot more good news to get the market higher. We’ll wait for additional hedges until 875.
CYCLES OVERVIEW: Lower into Tuesday; higher into Wednesday; lower into Friday.
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