FOR MONDAY: (9/18) We continue to focus on looking for recoveries and now think the market could hold up at least into Sunday and part of Monday. We will put orders in early in case they get hit and the market is down on Sunday. All the grains looked like they did “b” wave retracements and we could still get C-waves up to 362-3 on Dec. corn or 450 on Dec wheat and beans could reach up to 985 or 995.00. Grains look lower next week so hedging and cash sales will be important Sunday/Monday. Meats could be volatile on Monday but then should recover to mid-week.
DEC. CORN (electronic ok)
TODAY’S COMMENTS: (9/18) Key resistance at 358 and 360 will be hard to get through and we had targeted 358 as a weak rally target. Wheat should pull it up and the earliest we’ll sell again is probably by early Monday. Corn supplies look to remain burdensome for another year. The first test for the market will be to hold Aug. 31 lows. After that, a post-harvest bounce could provide a few hedging opportunities while waiting for basis to tighten.
OVERALL: (9/12) We should get another 30 cents lower after the USDA report from a secondary high by Sept. 15 or 20. That could be followed by another 30 cents lower. At some point in October we could have a 26-cent bounce before a final low. Major weekly chart support at 312 should hold.
CYCLES OVERVIEW: Topping Sunday; lower into Friday.
