MarketEdge PM Comments
May 30, 2023
(Cody Forde)
Good afternoon, the markets were lower on slightly better rain coverage coming later in June. July corn last trade was $5.94 down 10 cents on the day. July soybeans nose-dived into a lake to cool off with a last trade of $12.9575 down .4150. Over on the new crop side, we saw selling pressure as well. November soybeans traded to a low of $11.51 and finished the day two cents off the low. December corns last trade was $5.24 down 10 cents. Was this our summer low? Typically lows occur from the middle of June to the middle of July.
The outside markets added little support as crude oil dropped 4% to peg the index below 70 dollars per barrel. Natural gas also joined the 4% lower club, adding pressure to the move lower on grains. From a technical perspective on July soybeans, I would watch for $12.40 as a strong stopping point. However, if that level is broken, a trip down to $12.00 isn’t out of the question. Upside targets follow as $13.20, and then look for a test of $13.60 if we get a Friday close about $13.20. For July corn, support is at $5.75, followed by $5.50 level. Upside targets are $6.00, and then $6.07. To turn this chart around I would like to see a close above $6.25.
Have a great evening!
Good afternoon, the markets were lower on slightly better rain coverage coming later in June. July corn last trade was $5.94 down 10 cents on the day. July soybeans nose-dived into a lake to cool off with a last trade of $12.9575 down .4150. Over on the new crop side, we saw selling pressure as well. November soybeans traded to a low of $11.51 and finished the day two cents off the low. December corns last trade was $5.24 down 10 cents. Was this our summer low? Typically lows occur from the middle of June to the middle of July.
The outside markets added little support as crude oil dropped 4% to peg the index below 70 dollars per barrel. Natural gas also joined the 4% lower club, adding pressure to the move lower on grains. From a technical perspective on July soybeans, I would watch for $12.40 as a strong stopping point. However, if that level is broken, a trip down to $12.00 isn’t out of the question. Upside targets follow as $13.20, and then look for a test of $13.60 if we get a Friday close about $13.20. For July corn, support is at $5.75, followed by $5.50 level. Upside targets are $6.00, and then $6.07. To turn this chart around I would like to see a close above $6.25.
Have a great evening!