FOR THURSDAY: (8/10) We have a bias toward a fall into Friday for grains and if we get better risk/rewards the next day, we might consider being short a ½ position looking for a fall into Friday and then a recovery next week. Beans never completed pattern to 942, which stands a good chance of coming in. Wheat got close enough to 450 that not sure there’s much to do there and corn could be a sale closer to 390 at some point and we have to see more data. We may put out orders in the morning. We are inclined to expect lower action into Friday but could see the market recover to the upside starting next week. USDA report at 11 am.
DEC. CORN (electronic ok)
TRADING RECOMMENDATION: Wait for morning comments.
TODAY’S COMMENTS: (8/10) An inside day that wobbles between 383-88 before the USDA report on Thursday should continue. We’re open to 390 and 394 at some point but a fall to 357 seems inevitable in the fall. Not seeing any reason to take a stand overnight. Many services are expecting lower production. USDA could lower 2017 production to 13.62 billion bushels from its July number of 14.255 billion and lower ending stocks to 1.884 billion from July’s 2.325 billion. Crop ratings are down from a year ago due to too much rain in some areas and not enough in others.
CYCLES OVERVIEW: Lower into Aug. 11.
