CHICAGO (Dow Jones)--A mixed Chicago Mercantile Exchange hogs open is possible Thursday, said analysts and brokers.

Bullish market factors include more buying following Thursday's futures gains and late-Wednesday's $1.01 pork cutout price increase that fortified pork packer profit margins.

The Dow Jones packer margin index for Wednesday's operations was plus $6.72, compared with plus $5.06 the previous day.

Steady-to-possibly-firm cash hog price calls may also stir spot-December buying interest.

However, potential profit-taking and burdensome daily hog kills are bearish lean hog features.

Following October's expiration Wednesday, December will spend its first full day as the spot month at a bearish premium to CME's hog index.

December and February are overbought based on their Relative Strength Index conditions. And, some prospective bulls are having a tough time rationalizing buying December that is far removed from near-term fundamental influence.

Meanwhile, electronic-Chicago Board of Trade corn losses may discourage far-month lean hog buyers.

December's 53.36-cents 100-day moving average serves as an area of support. The contract's 54.50 Wednesday high is a price resistance target.

February's 59.50 100-day moving average is a prime support level. The contract's 60.40 Wednesday and 60.70 July 27 highs are price resistance obstacles.

Pork bellies could start the morning flat to lower. Potential profit taking and late-Wednesday's weak fresh belly quote at $62 per hundredweight might trump possible leftover buying after futures' firmed Wednesday.

February's 82.33-cents 20-day and 82.13 10-day moving averages are support levels. The contract's 83.50 Sept. 22 high is a price resistance barrier.

Cattle Complex

Analysts and brokers have conflicting opinions regarding CME's live cattle open Thursday.

Spillover from Wednesday's futures upturn and cash cattle price confidence due to rising boxed beef prices and improving beef packer margins could offer positive marking influence.

An extremely small number of cattle in Nebraska so far this week sold for $78 to $80 per hundredweight on a cash basis. A few fed cattle elsewhere in the Plains fetched $82.

However, packer bids in other areas stand at $81 in the face of $84 to $85 asking prices. Fed cattle last week overall moved from $79 to $82.

The U.S. Department of Agriculture's late-Wednesday boxed beef data showed choice cuts up $0.03 per hundredweight, and select cuts gained $1.03.

The latest operating margin index for beef packers was plus $4.75 per head, compared with plus $2.20 the previous day, as calculated by HedgersEdge.com.

The CME late Wednesday posted 61 new deliveries against spot-October futures that will expire on Oct. 31. The deliveries were accepted by someone willing to take them which is viewed as positive for the October contract.

By the same token, possible profit taking and uneasiness before USDA's monthly cattle-on-feed report on Friday at 3 p.m. EDT could become bearish market matters. The following are analysts' estimated averages and range of estimates for the upcoming report:

Average Range of estimates of estimates On-feed in Oct 100.3 99.0-101.2 Placed in Sep 105.5 102.6-109.4 Marketed in Sep 97.8 96.0-99.3

Also, overnight-CBOT corn declines might undercut deferred live cattle contracts.

October's 82.64 10-day moving average serves as an area of support. The contract's 84.00 Dec. 11 low is a price resistance obstacle.

December's 84.92 20-day moving average is a support area. The contract's 86.11 40-day moving average is a resistance threshold.

Feeder cattle may open firm on residual buying following futures' climb Wednesday, CBOT corn's overnight retreat and gradually rising CME feeder cattle index.

However, nervousness before Friday's U.S. government cattle numbers and profit-taking by those who were recently long the market might minimize possible futures' advances.

October is set to challenge 93.70-cents 10-day moving average support. The contract's 93.50 Oct. 7 high is the next price support level.

October's 94.00 Oct. 8 high is a price resistance point.

November's 93.74 10-day moving average is a technical support point. The contract's 94.45 Oct. 12 high is a price resistance mark.

(To access the daily livestock market data recap report, keyword search for "Livestock Market Fundamental Data Recap.")


-By Theopolis Waters; Dow Jones Newswires; 312-341-5778; theopolis.waters@dowjones.com