Corn Estimated Fund Position

Trends – July Contract

Short Term:Down Net Long Futures and Options: -7000

Long Term: Down Change: +20000

Overnight Trade: N +4 @7:30 AM

The July corn is back to testing the resistance at the 40 and 50-day moving averages. We haven’t seen a close above the 50-day moving average since early January, but we have a chance of seeing one today. Many analysts are expecting to see some short covering ahead of next week’s Quarterly Stocks Report and Prospective Plantings Report. It also helps that the Dollar was weaker overnight and that the crude oil has avoided new lows for a couple of days. A firm close today will give the bulls some confidence and make another test of $4.07 likely.

Wheat Estimated Fund Position

Trends – July Contract

Short Term: Up Net Long Futures and Options: -56000

Long Term:Up Change: +8000

Overnight Trade: Chicago: N +5 KC: N +5 @7:30 AM

Friday the July KW made its first close above the 50-day moving average since the 6th of January. The next resistance for this market is at the spike high of $5.86, but in the long run it looks like this market is headed over $6.00. Crop condition ratings, and the Dollar will be closely watched in the coming weeks. As usual though, the best thing that could happen to this market is steady, strong demand.

Soybeans Estimated Fund Position

Trends – July Contract

Short Term: Down Net Long Futures and Options: -30000

Long Term: Down Change: +6000

Overnight Trade: N +7 @7:30 AM

The July soybeans have pushed through trend line resistance and made a new high for the move overnight. The weaker Dollar is supportive, but the best support right now is the uncertainty in regards to next week’s reports. The stocks and acreage numbers tend to create volatility and the funds may want to step out of short positions for a little bit ahead of those numbers. $10.00 is the next major resistance in the July contract.

Live Cattle

Trend

Short Term: Up

Long Term: Up

Opening Calls: 20-40 Higher

Live cattle futures closed moderately higher on Friday and up 4.00 for the week in the spot April contract. Cattle on Feed numbers were supportive, with placements and marketings seen as positives. The 100 day moving average looms as the next resistance level for the April fats. A close above the 100 day suggests a test of the 161.50 level. Open interest continues to rise in the cattle market, implying new money moving into this market.

Feeder Cattle

Trends

Short Term: Up

Long Term: Up

Opening Call: 20-40 Higher

Feeder cattle futures closed mixed on Friday, with March and April firm and deferred months softer. For the week April feeders gained more 5.00 and are firmly back in the bulls favor. Corn prices continued to show signs of life overnight, giving some caution to feeder bullishness. Friday's second close above the 100 day moving average should lend technical support.