LIVE CATTLE: June
June live cattle have been under pressure the last two trading sessions mostly because of pressure from outside markets. The market broke below key support levels on Friday and turned technically negative now below $95.10. The market is probably over sold in the near term, so a bounce back to $94.40 over the next few sessions wouldn't be a big surprise, especially if the stock market holds firm. Today if trade pushes above $93.05 then there will be a good possibility for a move to $93.72. On the downside use $92.55 as support for today's trade. Breaking below this level could attract more selling down to $91.75.
Support: 92.55 & 91.75 Resistance: 93.05 & 93.72
Long Term Trend: Down below 95.10 Short Term Trend: Down below 95.10
Upper Momentum: 96.55 Lower Momentum: 93.80
FEEDER CATTLE: Aug
Feeders have been lower similar to the live market, but could be in for a bounce today as well. Support for the market is at $112.10. Holding above this area the market will be supported and if it pushes above $112.85 then it could move back up to $113.50. Closing below $112.10 signals continued selling that could take the market to $110.75. I think the market will try and correct back up into Fridays downturn over the next few sessions before moving lower. Only a close back above $114.40 would turn the market back bullish.
Support: 112.10 & 111.40 Resistance: 112.85 & 113.50
Long Term Trend: Down below 114.40 Short Term Trend: Down below 114.40
Upper Momentum: 116.45 Lower Momentum: 113.60
It didn't take long for the corn market to move off of fresh closing highs to prior lows. The market has seen significant influence from a bullish U.S. Dollar and good start to planting. The market has rebounded overnight as traders think that the $ might have seen a near term top. Today opening and holding above 358 should support the market and allow a move up to 364. Stalling at this level could set the market up for another push down to 352. In order for the market to turn back bullish we need to see a close back above 371.
Support: 358, 356, & 352 Resistance: 362, 364 & 369
Long Term Trend: Down below 370 Short Term Trend: Down below 371
Upper Momentum: 375 Lower Momentum: 363
June hogs have traded down to their 100 day moving average overnight and have bounced since. They too are probably over sold and could use a bounce. Closing today below $81.27 could extend the break in the market down to $80.00, but if the market holds $81.27 on a test and then closes back above $82.00 continuation to $83.80 is likely. The market would need to close above $84.80 in order to turn bullish.
Support: 81.27 & 80.90 Resistance: 82.22 & 82.85
Long Term Trend: Down below 84.30 Short Term Trend: Down below 83.80
Upper Momentum: 86.07 Lower Momentum: 83.20
Brock Thompson Trading, 2525 Lakeview Dr. Amarillo, TX 79109, firstname.lastname@example.org (806)-350-2400
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Thompson Trading: Live Cattle Under Pressure, Hogs Oversold
LIVE CATTLE: June