KEY EVENTS TO WATCH FOR:
Thursday, August 1, 2019
7:30 AM ET. July Challenger Job-Cut Report
Job Cuts, M/M% (previous -28%)
8:30 AM ET. U.S. Weekly Export Sales
Corn (Metric Tons) (previous 507.9K)
Soybeans (Metric Tons) (previous 145.6K)
Wheat (Metric Tons) (previous 659.7K)
8:30 AM ET. Unemployment Insurance Weekly Claims Report - Initial Claims
Jobless Claims (expected 215K; previous 206K)
Jobless Claims, Net Chg (previous -10K)
Continuing Claims (previous 1676000)
Continuing Claims, Net Chg (previous -13K)
9:45 AM ET. Bloomberg Consumer Comfort Index
9:45 AM ET. July US Manufacturing PMI
PMI, Mfg (previous 50.6)
10:00 AM ET. July ISM Manufacturing Report on Business
Manufacturing PMI (expected 51.9; previous 51.7)
Prices Idx (previous 47.9)
Employment Idx (previous 54.5)
Inventories (previous 49.1)
New Orders Idx (previous 50.0)
Production Idx (previous 54.1)
10:00 AM ET. June Construction Spending - Construction Put in Place
New Construction (expected +0.1%; previous -0.8%)
Residential Construction
10:00 AM ET. June Metropolitan Area Employment & Unemployment
10:30 AM ET. EIA Weekly Natural Gas Storage Report
Working Gas In Storage (Cbf) (previous 2569B)
Working Gas In Storage, Net Chg (Cbf) (previous +36B)
11:00 AM ET. July Global Manufacturing PMI
PMI, Mfg (previous 49.4)
4:00 PM ET. July Domestic Auto Industry Sales
4:30 PM ET. Foreign Central Bank Holdings
4:30 PM ET. Money Stock Measures
4:30 PM ET. Federal Discount Window Borrowings
Friday, August 2, 2019
8:30 AM ET. July U.S. Employment Report
Non-Farm Payrolls (expected +166K; previous +224K)
Unemployment Rate (expected 3.6%; previous 3.7%)
Avg Hourly Earnings (USD) (previous 27.90)
Avg Hourly Earnings-Net Chg (USD) (previous +0.06)
Avg Hourly Earnings, M/M% (expected +0.2%; previous +0.22%)
Avg Hourly Earnings, Y/Y% (expected +3.1%; previous +3.1%)
Overall Workweek (previous 34.4)
Overall Workweek Net Chg (previous +0)
Government Payrolls (previous +33K)
Private Payroll (previous +191K)
Participation Rate (previous 62.9%)
Non-Farm Payrolls Bench Net Chg
8:30 AM ET. June U.S. International Trade in Goods & Services
Trade Balance (USD) (expected -54.7B; previous -55.52B)
Exports (USD) (previous 210.64B)
Exports, M/M% (previous +2.0%)
Imports (USD) (previous 266.16B)
Imports, M/M% (previous +3.3%)
9:45 AM ET. July ISM-NY Report on Business
Business Index (previous 50.0)
10:00 AM ET. June Manufacturers' Shipments, Inventories & Orders (M3)
Total Orders, M/M% (expected +0.9%; previous -0.7%)
Orders, Ex-Defense, M/M% (previous -0.4%)
Orders, Ex-Transport, M/M% (previous +0.1%)
Durable Goods, M/M% (previous -1.3%)
Durable Goods, M/M%
10:00 AM ET. July University of Michigan Survey of Consumers – final
End-Mo Sentiment Idx (expected 98.4; previous 98.2)
End-Mo Expectations Idx (previous 89.3)
12-Month Inflation Forecast (previous 2.7%)
5-Year Inflation Forecast (previous 2.3%)
End-Mo Current Idx (previous 111.9)
The STOCK INDEXES? http://quotes.ino.com/ex?changes/?c=indexes ""
The September NASDAQ 100 closed sharply lower on Wednesday as investors had hoped for a 50-basis point cut in interest rates instead of the 25-basis point cut.The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI have turned neutral to bearish signaling that sideways to lower prices are possible near-term. Multiple closes below the July 19th low crossing at 7815.25 would confirm that a short-term top has been posted while opening the door for additional weakness near-term. If September resumes the rally off June's low into uncharted territory, upside targets will be hard to project. First resistance is last-Wednesday's high crossing at 8051.75. Second resistance is unknown. First support is the July 19th low crossing at 7815.25. Second support is the 50-day moving average crossing at 7668.78.
The September S&P 500 closed lower on Wednesday as it consolidates some of the rally off June's low.The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are turning neutral to bearish signaling that a short-term top appears to have been posted with last-Friday's high. Closes below the July 19th low crossing at 2972.80 would confirm that a short-term top has been posted has been posted while opening the door for additional weakness near-term. If September extends the rally off June's low into uncharted territory, upside targets will be hard to project. First resistance is last-Friday's high crossing at 3029.00. Second resistance is unknown. First support is the July 19th low crossing at 2972.80. Second support is the 50-day moving average crossing at 2928.68.
The Dow closed sharply lower on Wednesday following news that the Fed cut interest rates by 25-basis points today. However, investors were disappointed as they were hoping for a 50-basis point cut in interest rates. In afternoon trading we saw the Dow trading over 500 points lower as it broke out to the downside of July's trading range before a short covering rally tempered some of its losses. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. Today's close below the 20-day moving average crossing at 27,122.13 confirms that a short-term top has been posted. If the Dow extends today's sharp decline, the 50-day moving average crossing at 26,447.20 is the next downside target. Closes above today's high crossing at 27,281.65 would confirm that a short-term low has been posted. First resistance is July's high crossing at 27,398.68. Second resistance is unknown. First support is the 50-day moving average crossing at 26,447.20. Second support is the reaction low crossing at 25,958.66.
INTEREST RATES? http://quotes.ino.com/ex?changes/?c=interest ""
September T-bonds closed up 1-08/32's at 155-28.
September T-bonds closed sharply higher on Wednesday as it extended the rally off July's low. The high-range close sets the stage for a steady to higher opening when Thursday's night session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If September extends the rally off July's low, July's high crossing at 157-02 is the next upside target. Closes below the 50-day moving average crossing at 154-03 would confirm that a short-term top has been posted. First resistance is the June 20th high crossing at 156-17. Second resistance is July's high crossing at 157-02. First support is July's low crossing at 152-28. Second support is the 38% retracement level of the March-July-rally crossing at 152-01.
September T-notes closed up 85-pts. at 127.195.
September T-notes closed higher on Wednesday while extending this month's trading range. The high-range close sets the stage for a steady to higher opening when Thursday's night session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If September renews the rally off last-Tuesday's low, July's high crossing at 128.140 is the next upside target. Closes below the 50-day moving average crossing at 127.036 would open the door for a possible test of July's low crossing at 126.230. First resistance is July's high crossing at 128.140. Second resistance is weekly resistance crossing at 130.010. First support is July's low crossing at 126.230. Second support is the 38% retracement level of the March-July-rally crossing at 125.167.
ENERGY MARKETS? http://quotes.ino.com/ex?changes/?c=energy ""
September crude oil closed slightly lower on Wednesday. This week's closes above the 20-day moving average crossing at 57.65 confirms that a short-term low has been posted. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If September extends this week's rally, July's high crossing at 61.02 is the next upside target. Closes below the 10-day moving average crossing at 56.65 would temper the near-term friendly outlook. First resistance is July's high crossing at 61.02. Second resistance is the reaction high crossing at 64.02. First support is July's low crossing at 54.85. Second support is the reaction low crossing at 51.85.
September heating oil closed lower on Wednesday as it consolidates some of Tuesday's rally. The low-range close sets the stage for a steady to lower opening when Thursday's night trading session begins. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Tuesday's close above last-Wednesday's high crossing at 195.51 has opened the door for a possible test of July's high crossing at 202.40. Closes below the 50-day moving average crossing at 191.36 would temper the near-term friendly outlook. First resistance is July's high crossing at 202.40. Second resistance is the May 16th high crossing at 214.41. First support is July's low crossing at 185.96. Second support is the reaction low crossing at 179.49.
September unleaded gas closed lower on Wednesday as it consolidates some of the rally off July's low. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI have turned neutral to bullish signaling that sideways to higher prices are possible near-term. If September extends the rally off July's low, the July 1st high crossing at 191.59 is the next upside target. If September resumes the decline off July's high, the 62% retracement level of the June-July-rally crossing at 178.48 is the next downside target. First resistance is July's high crossing at 197.13. Second resistance is April's high crossing at 199.81. First support is the 50% retracement level of the June-July-rally crossing at 178.81. Second support is the 62% retracement level of the June-July-rally crossing at 174.48.
September Henry natural gas closed sharply higher due to short covering on Wednesday signaling that a double bottom with June's low might have been posted with Monday's low.The high-range close sets the stage for a steady to higher opening when Thursday's night session begins trading. Stochastics and the RSI are oversold but are turning neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving average crossing at 2.290 would confirm that a short-term low has been posted. If September extends the aforementioned decline, weekly support crossing at 2.029 is the next downside target. First resistance is the 20-day moving average crossing at 2.290. Second resistance is the 50-day moving average crossing near 2.341. First support is Monday's low crossing at 2.101. Second support is weekly support crossing at 2.029.
CURRENCIES? http://quotes.ino.com/ex?changes/?c=currencies ""
The September Dollar closed higher on Wednesday and posted a new contract high as it extended the rally off June's low. The high-range close sets the stage for a steady to higher opening when Thursday's night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If September extends the rally off June's low, weekly resistance on the continuation chart crossing at 99.90 is the next upside target. Closes below the 20-day moving average crossing at 97.08 would confirm that a short-term top has been posted. First resistance is today's high crossing at crossing at 98.45. Second resistance is weekly resistance on the continuation chart crossing at 99.90. First support is the 10-day moving average crossing at 97.41. Second support is the 20-day moving average crossing at 97.08.
The September Euro closed sharply lower on Wednesday as it renewed the decline off June's high. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If September resumes the decline off June's high, the January-2017 low crossing at 110.91 is the next downside target. Closes above the 20-day moving average crossing at 112.56 would confirm that a short-term low has been posted. First resistance is the 20-day moving average crossing at 112.56. Second resistance is June's high crossing at 114.86. First support is today's low crossing at 111.05. Second support is the January-2017 low crossing at 110.91.
The September British Pound closed slightly lower for the fifth-day in a row on Wednesday as it extends this year's decline. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If September extends the decline off June's high, monthly support crossing at 1.2001 is the next downside target. Closes above the 20-day moving average crossing at 1.2476 would confirm that a short-term low has been posted. First resistance is the 20-day moving average crossing at 1.2476. Second resistance is the 50-day moving average crossing at 1.2625. First support is Tuesday's low crossing at 1.2147. Second support is monthly support crossing at 1.2001.
The September Swiss Franc closed lower on Wednesday as it renewed the decline off June's low. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading.Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If September extends the decline off June's high, June's low crossing at 1.0066 is the next downside target. Closes above the 10-day moving average crossing at 1.0174 would confirm that a low has been posted. First resistance is last-Monday's high crossing at 1.0251. Second resistance is June's high crossing at 1.0392. First support is June's low crossing at 1.0066. Second support is the May 30th reaction low crossing at 1.0006.
The September Canadian Dollar posted a key reversal down as it renewed the decline off July's high on Wednesday. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. Closes below the 50-day moving average crossing at 75.69 would open the door for additional weakness near-term. Closes above the 20-day moving average crossing at 76.41 would confirm that a short-term low has been posted. First resistance is the 20-day moving average crossing at 76.41. Second resistance is July's high crossing at 76.81. First support is the 50-day moving average crossing at 75.69. Second support is the 50% retracement level of the June-July-rally crossing at 75.43.
The September Japanese Yen closed lower on Wednesday as it test support marked by the 50% retracement level of the April-June-rally crossing 921. The low-range close sets the stage for a steady to lower opening when Thursday’s night session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If September extends the decline off June's high, the May 30th low crossing at 0.0917 is the next downside target. Closes above the 50-day moving average crossing at 0.0928 would temper the near-term bearish outlook. First resistance is July's high crossing at 0.0937. Second resistance is June's high crossing at 0.0942. First support is the 50% retracement level of the April-June-rally crossing 921. Second support is the reaction low crossing at 0.0917.
PRECIOUS METALS? http://quotes.ino.com/ex?changes/?c=metals ""
October gold posted a key reversal down on Wednesday as it extends this summer's trading range. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are turning neutral to bearish signaling that sideways to lower prices are possible near-term. Closes below the reaction low crossing at 1407.80 would temper the near-term friendly outlook. If October resumes the rally off May's low, the 50% retracement level of the 2011-2015-decline on the weekly continuation chart crossing at 1484.50 is the next upside target. First resistance is July's high crossing at 1460.30. Second resistance is the 50% retracement level of the 2011-2015-decline on the weekly continuation chart crossing at 1484.50. First support is the reaction low crossing at 1407.80. Second support is July's low crossing at 1390.90.
September silver closed lower on Wednesday and below the 10-day moving average crossing at 16.425 signaling that a short-term top appears to have been posted. The low-range close set the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. Closes below the 20-day moving average crossing at 15.873 would confirm that a short-term top has been posted. If September extends the rally off May's low, the 62% retracement level of 2018's decline crossing at 16.858 is the next upside target. First resistance is last-Thursday's high crossing at 16.685. Second resistance is the 62% retracement level of 2018's decline crossing at 16.858. First support is the 20-day moving average crossing at 15.873. Second support is the 50-day moving average crossing at 15.324.
September copper closed lower on Wednesday as it extends the decline off July's high. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. If September extends the aforementioned decline, July's low crossing at 261.20 is the next downside target. If September renews the rally off July's low, the 62% retracement level of the April-June-decline crossing at 285.20 is the next upside target. First resistance is July's high crossing at 280.30. Second resistance is the 62% retracement level of the April-June-decline crossing at 285.20. First support is today's low crossing at 265.75. Second support is July's low crossing at 261.20.
GRAINS? http://quotes.ino.com/ex?changes/?c=grains "
December Corn closed down 11 1/4-cents at 4.09 3/4.
December corn closed sharply lower on Wednesday as it extends the decline off July's high. The nonthreatening weather forecasts and stalled trade talks continue to weigh on corn prices. Another problem with the corn market is ethanol is experiencing extremely weak demand coupled with the fact that we still do not have a trade agreement with China as it doesn't look like that's going to happen anytime soon so corn is likely to remain the defensive unless August USDA WASDE report gives the market bullish acreage and yield data. The low-range close sets the stage for a steady to lower opening when Thursday's night sessions begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If December extends the decline off July's high, the 62% retracement level of the May-June-rally crossing at 4.05 1/2 is the next downside target. Closes above the 50-day moving average crossing at 4.39 would confirm that a short-term low has been posted. First resistance is the 20-day moving average crossing at 4.35. Second resistance is the 50-day moving average crossing at 4.39. First support is the 62% retracement level of the May-June-rally crossing at 4.05 1/2. Second support is the 75% retracement level of the May-June-rally crossing at 3.91.
December wheat closed down 10 1/4-cents at 4.92 3/4.
December wheat closed lower on Wednesday as it renewed the decline off June's high. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If December extends the decline off June's high, the reaction low crossing at 4.88 1/4 is the next downside target. Closes above the 20-day moving average crossing at 5.13 1/4 would confirm that a short-term low has been posted. First resistance is the 50-day moving average crossing at 5.23 3/4. Second resistance is July's high crossing at 5.43. First support is the reaction low crossing at 4.88 1/4. Second support is the reaction low crossing at 4.67 1/2.
December Kansas City Wheat closed down 10 1/2-cents at 4.40 1/2.
December Kansas City wheat closed lower on Wednesday as it extends the decline off June's high. The low-range close sets the stage for a steady to lower opening when Thursday night session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If December extends the decline off June's high, the May 16th low crossing at 4.33 1/2 is the next downside target. Multiple closes above the 20-day moving average crossing at 4.60 are needed to confirm that a short-term low has been posted. First resistance is July's high crossing at 4.91 1/2. Second resistance is June's high crossing at 5.27 1/4. First support is the May 16th low crossing at 4.33 1/2. Second support is May's low crossing at 4.14.
December Minneapolis wheat closed down 7 1/4-cents at 5.33 1/4.
December Minneapolis wheat closed lower on Wednesday. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are turning neutral to bearish signaling that sideways to lower prices are possible near-term. If December extends the decline off June's high, May's low crossing at 5.29 1/2 is the next downside target. Closes above the 20-day moving average crossing at 5.42 1/2 are needed to confirm that a short-term low has been posted. First resistance is the 20-day moving average crossing at 5.42 1/2. Second resistance is the 50-day moving average crossing at 5.60 1/2. First support is today's low crossing at 5.32 1/4. Second support is May's low crossing at 5.29 1/2.
SOYBEAN COMPLEX? http://quotes.ino.com/ex?changes/?c=grains "
November soybeans closed down 16 1/2-cents at 8.80 1/4.
November soybeans closed lower on Wednesday as it extends the decline off July's high.The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI remain neutral to bearish signaling that sideways to lower prices are possible near-term. If November extends the aforementioned decline, June's low crossing at 8.75 1/4 is the next downside target. Closes above Monday's high crossing at 9.09 would confirm that a short-term low has been posted. First resistance is July's high crossing at 9.36 1/2. Second resistance is June's high crossing at 9.48. First support is June's low crossing at 8.75 1/4. Second support is the reaction low crossing at 8.43 3/4.
December soybean meal closed down $2.80 at 304.90.
December soybean meal closed lower on Wednesday as it extends the decline off June's high. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If December extends the decline off June's high, the May 21st reaction low crossing at 301.40 is the next downside target. Closes above the 20-day moving average crossing at 313.50 would confirm that a short-term low has been posted. First resistance is the reaction high crossing at 323.80. Second resistance is the June 2018 high crossing at 346.10. First support is the May 21st reaction low crossing at 301.40. Second support is the 87% retracement level of the May-June-rally crossing at 297.10.
December soybean oil closed down 54-pts at 28.29.
December soybean oil closed sharply lower on Wednesday and below the 50-day moving average crossing at 28.43 signaling that Monday's high marked a double top with June's high. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. If December extends today's decline, July's low crossing at 27.87 is the next downside target. If December renews the rally off July's low, the 50% retracement level of the February-May-decline crossing at 28.91 is the next upside target. First resistance is June's high crossing at 29.32. Second resistance is the 50% retracement level of the February-May-decline crossing at 29.50. First support is July's low crossing at crossing at 27.87. Second support is June's low crossing at 27.60.
LIVESTOCKhttp://quotes.ino.com/exchanges/?c=livestock
October hogs closed down $3.00 at $71.00.
October hogs closed limit down on Wednesday. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. If October extends the decline off July's high, July's low crossing at 67.43 is the next downside target. Closes above the 10-day moving average crossing at 77.72 would confirm that a short-term low has been posted. First resistance is the 50% retracement level of the April-June-decline crossing at 81.28. Second resistance is the 62% retracement level of the April-June-decline crossing at 84.59. First support is today's low crossing at 71.00. Second support July's low crossing at 67.43.
October cattle closed down $1.43 at 107.65.
October cattle closed lower on Wednesday. The low-range close sets the stage for a steady to lower opening on Thursday. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. Closes below the 50-day moving average crossing at 107.22 would confirm that a short-term top has been posted. If October renews the rally off June's low, the 50% retracement level of the March-July-decline crossing at 112.39 is the next upside target. First resistance is the 38% retracement level of the March-July-decline crossing at 110.20. Second resistance is the 50% retracement level of the March-July-decline crossing at 112.39. First support is the 50-day moving average crossing at 107.22. Second support is June's low crossing at 103.27.
October Feeder cattle closed down $1.33 at $142.55.
October Feeder cattle closed lower on Wednesday. The mid-range close sets the stage for a steady to lower opening when Thursday's session begins trading. Stochastics and the RSI are overbought and are turning neutral to bearish signaling that sideways to lower prices are possible near-term. Closes below the 50-day moving average crossing at 139.75 would confirm that a short-term top has been posted. If October extends the rally off June's low, the 50% retracement level of the April-June-decline crossing at 147.45 is the next upside target. First resistance is today's high crossing at 144.43. Second resistance is the 50% retracement level of the April-June-decline crossing at 147.45. First support is the 20-day moving average crossing at 141.88. Second support is the 50-day moving average crossing at 139.75.
FOOD & FIBERhttp://quotes.ino.com/ex changes/?c=food
September coffee closed lower on Wednesday as it extends the decline off July's high. The low-range close sets the stage for a steady to lower opening on Thursday. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If September extends the decline off July's high, June's low crossing at 9.68 is the next downside target. Closes above the 20-day moving average crossing at 10.52 would confirm that a short-term low has been posted.
September cocoa closed lower on Wednesday as it extends the decline off July's high. The low-range close sets the stage for a steady to lower opening on Thursday. Stochastics and the RSI are oversold but remain neutral to bearish signaling sideways to lower prices are possible near-term. If September extends the decline off July's high, June's low crossing at 23.21 is the next downside target. Closes above the 20-day moving average crossing at 24.55 would confirm that a short-term low has been posted.
October sugar closed slightly higher on Wednesday. The high-range close set the stage for a steady to higher opening on Thursday. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 50-day moving average crossing at 12.35 would open the door for additional short-term gains near-term. Closes below the 10-day moving average crossing at 11.92 would temper the near-term friendly outlook.
December cotton posted an inside day with a higher close on Wednesday. The high-range close sets the stage for a steady to higher opening on Thursday. Stochastics and the RSI are neutral to bullish signaling that a low might be in or is near. Closes above the 50-day moving average crossing at 65.53 are needed to open the door for a possible test of July's high crossing at 68.35. If December renews this month's decline, monthly support crossing at 59.85 is the next downside target.
Thanks tallpine!
We added more rains in the week 2 forecast.....so the market assumes the crop will get bigger from whatever (small) size it is now.