Daily US grain report: market bulls squelched by risk aversion this week

US grain futures are mixed but mostly weaker in early US pre-market trading Tuesday (21 January).
calendar icon 21 January 2020
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US grain futures traders will continue to monitory daily and weekly USDA export sales figures, mainly looking for more purchases coming from China. There were rumours last Friday that China was booking a large quantity of US corn for nearby shipment.

Strong rebound in prices last Friday gives bulls momentum, but they need to show follow-through strength this week to suggest price uptrend can be sustained
Strong rebound in prices last Friday gives bulls momentum, but they need to show follow-through strength this week to suggest price uptrend can be sustained

© Jim Wyckoff

Strong rebound in prices last Friday gives bulls momentum, but they need to show follow-through strength this week to suggest price uptrend can be sustained
Strong rebound in prices last Friday gives bulls momentum, but they need to show follow-through strength this week to suggest price uptrend can be sustained

© Jim Wyckoff

The latest CFTC Commitments of Traders report showed the big speculative funds are now net short 78,442 corn futures contracts, long 6,290 soybean contracts, and long 29,787 wheat contracts. The big spec long position in corn can be read as bullish, as those longs are now squeamish after last Friday’s big up day in US corn futures.

Bulls fade badly as technical damage inflicted to suggest retest of December low
Bulls fade badly as technical damage inflicted to suggest retest of December low

© Jim Wyckoff

Bulls fade badly as technical damage inflicted to suggest retest of December low
Bulls fade badly as technical damage inflicted to suggest retest of December low

© Jim Wyckoff

US grain futures traders will continue to monitory daily and weekly USDA export sales figures, mainly looking for more purchases coming from China. There were rumours last Friday that China was booking a large quantity of US corn for nearby shipment.

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