Morning Call

Morning Call

Grains look to be in an honest correction lower from recent rally. Last night Dec corn down 5.75 Nove beans down 11 KC wheat down 3.5 and cbt wheat down 10. Cattle showing a little strength.

Corn and wheat yesterday confirmed an evening star which sets up a corrective decline. Keep a close eye out on support levels for keys to an end of the decline. In corn this is most likely a corrective wave within a larger rally. Wheat has yet to hammer out a true base for a rally. Bulls stay on the defensive for now.

Beans like wheat really needs to put together some sort of 1-2-3 bottom before im confortable with any rally attempts. If the double bottom in the Nov beans and holds, I think we have a decent base to establish a rally. Bulls stay on the defensive.

Lots of action in the swing trade yesterday.
Yesterday we were stopped out of Soybeans, Soy Meal, and CBT Wheat all decent gains. For new open positinos we shorted Oats, Corn, Soy Meal, and sugar. Today we will be adding a short Jan beans.