FOR THURSDAY: (9/28) We got a bounce on Wednesday with wheat completing a key pattern and beans doing a weak bounce corn being pretty sideways. Cycles peak overnight and then should be sideways before the stocks report. The USDA report on Friday and then end of the month position squaring should create illogical crosscurrents and new trading may not be advised. Will want to exit some positions on Thursday before grain reports.
DEC. CORN (electronic ok)
TODAY’S COMMENTS: (9/28) Continue to use strength the next day price to get in last-minute hedges and cash needs before we start collapsing to harvest low. Want to see 348 and 342 come out to get more excited about this market but 360 should be a line in stone to get through. Sluggish action for now. Traders could also be turning cautious ahead of the Sept. 1 grain stocks report due Friday from USDA. The agency could cut 10 to 15 million bushel off its carryout estimate for the 2016 crop, but livestock usage over the summer remains a wild car that’s hard to predict.
OVERALL: (9/12) 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 overnight; sideways Thursday.
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