Daily US grain report: grain traders “buy rumor, sell fact” on US-China partial trade deal

US grain futures are mixed but mostly up in early US pre-market trading. Corn is up around 3 cents, while soybeans are around 1 1/2 cents lower and wheat is 1 to 3 cents higher.
calendar icon 17 January 2020
clock icon 7 minute read

This week’s price action in the grain futures markets has inflicted significant near-term technical damage to the corn and soybean markets, to suggest their price action will be sideways-at-best in the near term. And if corn and soybeans languish in the near term, it’s hard to imagine wheat being able to continue its price uptrend on the charts.

Serious near-term chart damage inflicted this week to suggest more downside price action in the near term
Serious near-term chart damage inflicted this week to suggest more downside price action in the near term

© Jim Wyckoff

Serious near-term chart damage inflicted this week to suggest more downside price action in the near term
Serious near-term chart damage inflicted this week to suggest more downside price action in the near term

© Jim Wyckoff

Wheat traders are also monitoring a major winter storm and very cold temperatures hitting the northern US plains states on Friday and Saturday. However, most traders expect snow cover to limit any damage from the bitterly cold weather expected.

Bulls fade badly this week and technical damage inflicted to suggest retest of December low
Bulls fade badly this week and technical damage inflicted to suggest retest of December low

© Jim Wyckoff

Bulls fade badly this week and technical damage inflicted to suggest retest of December low
Bulls fade badly this week and technical damage inflicted to suggest retest of December low

© Jim Wyckoff

This week’s price action in the grain futures markets has inflicted significant near-term technical damage to the corn and soybean markets, to suggest their price action will be sideways-at-best in the near term. And if corn and soybeans languish in the near term, it’s hard to imagine wheat being able to continue its price uptrend on the charts.

© 2000 - 2024 - Global Ag Media. All Rights Reserved | No part of this site may be reproduced without permission.