KEY EVENTS TO WATCH FOR:

Monday, December 28, 2020 

10:30 AM ET. December Texas Manufacturing Outlook Survey

                       Business Activity (previous 12.0)

                       Mfg Production Idx (previous 7.2)

4:30 PM ET. Foreign Central Bank Holdings

4:30 PM ET. Money Stock Measures

4:30 PM ET. Federal Discount Window Borrowings

The STOCK INDEXES http://quotes.ino.com/exchanges/?c=indexes"

The STOCK INDEXES:The March NASDAQ 100 was steady to higher overnight after President Trump finally signed the U.S. stimulus package on Sunday. In a statement, he said Congress would vote on lifting individual payments from the current $600 to $2,000. The high-range trade sets the stage for a steady to higher opening when the day 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 the NASDAQ 100 extends the rally off November's low into uncharted territory, upside targets will be hard to project. Closes below last-Monday's low crossing at 12,461.00 would signal that a short-term top has been posted. First resistance is the overnight high crossing at 12,798.75. Second resistance is unknown. First support is last-Monday's low crossing at 12,461.00. Second is the 50-day moving average crossing at 12,071.81.  

The March S&P 500 was higher overnight.The high-range overnight trade sets the stage for a steady to higher opening when the day session begins trading later this morning.Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends this year's rally into uncharted territory, upside targets will be hard to project. Closes below last-Monday's low crossing at 3637.20 would confirm that a short-term top has been posted. First resistance is the overnight high crossing at 3721.00. Second resistance is unknown. First support is last-Monday's low crossing at 3637.20. Second support is the 50-day moving average crossing at 3550.42. 

INTEREST RATES http://quotes.ino.com/ex changes/?c=interest"

INTEREST RATES: March T-bonds were lower overnight. The low-range overnight trade sets the stage for a steady to lower opening when the day session begins trading. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. If March renews the decline off the November 20th high, December's low crossing at 171-04 is the next downside target. Closes above the 50-day moving average crossing at 173-23 would signal that a low has been open while opening the door for a possible test of November's high crossing at 177-06. First resistance is the 50-day moving average crossing at 173-23. Second resistance is the November 20th high crossing at 175-21. First support is the December 4th low crossing at 171-04. Second support is November's low crossing at 170-22.

March T-notes were lower overnight. The low-range overnight trade sets the stage for a steady to lower opening with the day 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 137.195 would signal that a short-term top has been posted. Closes above last-Monday's high crossing at 138.080 would open the door for additional gains near-term. First resistance is last-Monday's high crossing at 138.080. Second resistance is November's high crossing at 138.300. First support is the December 4th low crossing at 137.075. Second support is November's low crossing at 136.265. 

ENERGY MARKETS? http://quotes.ino.com/ex?changes/?c=energy ""

February crude oil was higher overnight. The high-range overnight trade sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. If February extends the rally off November's low, the 62% retracement level of the 2018-2020-decline crossing at $52.41 is the next upside target. Closes below the 20-day moving average crossing at $46.94 would confirm that a short-term top has been posted. First resistance is December's high crossing at $49.43. Second resistance is the 62% retracement level of the 2018-2020-decline crossing at $52.41. First support is the 20-day moving average crossing at $46.94. Second support is December's low crossing at $44.10.    

February heating oil was higher overnight. The high-range overnight trade sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. If February extends the rally off November's low, the 38% retracement level of the 2018-2020-decline crossing at $152.86 is the next upside target. Closes below the 20-day moving average crossing at $144.24 would signal that a short-term top has been posted. First resistance is December's high crossing at $151.88. Second resistance is the 38% retracement level of the 2018-2020-decline crossing at $152.86. First support is the 20-day moving average crossing at $144.24. Second support is the December 2^nd low crossing at $134.29.

February unleaded gas was steady to higher overnight. The high-range overnight trade sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI have turned neutral to bullish signaling that sideways to higher prices are possible near-term. If February extends the rally off November's low, the 62% retracement level of the 2018-2020-decline crossing at $152.11 is the next upside target. Closes below the 20-day moving average crossing at $131.57 would confirm that a short-term top has been posted. First resistance is December's high crossing at $139.69. Second resistance is the 62% retracement level of the 2018-2020-decline crossing at $152.11. First support is the 20-day moving average crossing at $131.57. Second support is the 50-day moving average crossing at $121.43. 

February Henry natural gas gapped down and was sharply lower overnight as it renewed the decline off October's high. The low-range overnight trade sets the stage for a steady to lower opening when the day session begins trading. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. If February extends the aforementioned decline, weekly support crossing at 2.179 is the next downside target. Closes above the December 22^nd high crossing at 2.775 would confirm that a short-term low has been posted. First resistance resistance is the December 22^nd high  crossing at 2.775. Second resistance is the 50-day moving average crossing at 2.912. First support is the overnight low crossing at 2.265. Second support is weekly support crossing at 2.179.

CURRENCIEShttp://quotes.ino.com/ex changes/?c=currencies"

CURRENCIES:The March Dollar was higher overnight. The high-range overnight trade sets the stage for a steady to slightly lower opening when the day session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above  the December 21^st highcrossing at $90.95 are needed to confirm that a short-term low has been posted. If March resumes the decline off November's high, monthly support crossing at $88.15 is the next downside target.First resistance is the December 21st highcrossing at $90.95. Second resistance is the 50-day moving average crossing at $91.90. First support is December's low crossing at $89.64. Second support is monthly support crossing at $88.15.

The March Euro was steady to slightly higher overnight.The low-range overnight trade sets the stage for a steady to slightly higher opening when the day session begins trading. Stochastics and the RSI are  turning neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends the rally off November's low, the 62% retracement level of the 2018-2020-decline crossing at $125.38 is the next upside target. Closes below the 20-day moving average crossing at $121.77 would signal that a short-term top has been posted. First resistance is December's high crossing at $123.04. Second resistance is the 62% retracement level of the 2018-2020-decline crossing at $125.38. First support is the 20-day moving average crossing at $121.77. Second support is the December 9^th low crossing at $120.90.

The March British Pound was lower overnight. The low-range overnight trade sets the stage for a steady to lower opening when the day session beings trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. If March renews the rally off September's low, the February-2019 high crossing at 1.3728 is the next upside target. Closes below the 50-day moving average crossing at 1.3258 would signal that a short-term top has been posted while opening the door for additional weakness near-term. First resistance is December's high crossing at 1.3643. Second resistance is the February-2019 high crossing at 1.3728. First support is the 50-day moving average crossing at 1.3257. Second support is November's low crossing at 1.2876.

The March Swiss Franc was steady to slightly higher overnight as it extends this month's trading range. The low-range overnight trade sets the stage for a steady to slightly higher opening when the day session begins trading. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. Closes below last-Wednesday's low crossing at 1.1243 would signal that a short-term top has been posted. If March renews the rally off November's low, the September-2018 high crossing at 1.1408 is the next upside target. First resistance is December's high crossing at 1.1371. Second resistance is the September-2018 high crossing at 1.1408. First support is last-Wednesday's low crossing at 1.1243. Second support is the 50-day moving average crossing at 1.1122. 

The March Canadian Dollar was lower overnight. The low-range trade sets the stage for a steady to lower opening when the day session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to lower prices are possible near-term. If March extends the decline off December's high, the 50-day moving average crossing at $76.96 is the next downside target. Closes above the 10-day moving average crossing at $78.19 would temper the near-term bearish outlook. If March renews this year's rally, the October-2018 high crossing at $79.05 is the next upside target. First resistance is December's high crossing at $78.85. Second resistance is the October-2018 high crossing at $79.05. First support is the 50-day moving average crossing at $76.96. Second support is the November 13^th low crossing at $75.96.  

The March Japanese Yen was steady to slightly higher overnight. The low-range overnight trade sets the stage for a steady to slightly higher opening when the day session begins trading. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. Closes below the 20-day moving average crossing at 0.0964 would signal that a short-term top has been posted. If March resumes the rally off November's low, the 87% retracement level of March's decline  crossing at 0.0981 is the next upside target. First resistance is December's high crossing at 0.0974. Second resistance is the 87% retracement level of the February-March rally crossing at 0.0981. First support is the 20-day moving average crossing at 0.0964. Second support is the 50-day moving average crossing at 0.0961. 

PRECIOUS METALS http://quotes.ino.com/ex changes/?c=metals"

PRECIOUS METALS: February gold was steady to slightly lower overnight. The low-range overnight trade sets the stage for a steady to lower opening when the day session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to slightly lower prices are possible near-term. Closes below the 20-day moving average crossing at $1855.40 would confirm that a short-term top has been posted. Closes above the November 16^th high crossing at $1904.30 would open the door for a possible test of November's high. First resistance is the November 16^th high crossing at $1904.30. Second resistance is November's high crossing at $1973.30. First support is the December 14^th low crossing at $1820.00. Second support is November's low crossing at $1767.20.

March silver was was higher overnight. The mid-range overnight trade sets the stage for a steady to higher opening when the day session begins trading later this morning. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends the rally off November's low, the September 15th high crossing at $28.015 is the next upside target. Closes below the 50-day moving average crossing at $24.594 would signal that a short-term top has been posted. First resistance is the September 15^th high crossing at $28.015. Second resistance is September's high crossing at $29.380. First support is the 50-day moving average crossing at $24.594. Second support is November's low crossing at $21.960. 

March copper was steady to higher overnight. The mid-range overnight trade sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. If March resumes the rally off October's low, the February-2013 high on the monthly continuation chart crossing at 3.7925 is the next upside target. Closes below last-Tuesday's crossing at 3.4780 would confirm that a short-term top has been posted. First resistance is December's high crossing at 3.6455. Second resistance is the February-2013 high on the monthly chart crossing at 3.7925. First support is last-Tuesday's crossing at 3.4780. Second support is the 50-day moving average crossing at 3.3169.  

GRAINS http://quotes.ino.com/ex changes/?c=grains

March corn was higher overnight as it extends this month's rally. The low-range close sets the stage for a steady to slightly higher opening when the day sessions begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends the rally off April's low, weekly resistance marked by the June-2019 high on the weekly continuation chart crossing at $4.64 1/4 is the next upside target. Closes below the 50-day moving average crossing at $4.23 would signal that a short-term top has been posted. First resistance is the overnight high crossing at $4.55 1/2. Second resistance is the June-2019 high on the weekly continuation chart crossing at $4.64 1/4. First support is the 10-day moving average crossing at $4.37 3/4. Second support is the 20-day moving average crossing at $4.30 1/4.     

March wheat was lower overnight as it consolidates some of the rally off December's low. The low-range close sets the stage for a steady to lower opening when the day 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 March resumes the rally off December's low, October's high crossing at $6.37 3/4 is the next upside target. Closes below the 20-day moving average crossing at $5.98 3/4 would signal that a short-term top has been posted. First resistance is last-Wednesday's high crossing at $6.33 3/4. Second resistance is October's high crossing at $6.37 3/4. First support is the 20-day moving average crossing at $5.98 3/4. Second support is the December 7^th low crossing at $5.65 1/2. 

March Kansas City wheat was lower overnight. The low-range close sets the stage for a steady to lower opening when the day 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 March extends this month's rally, the 87% retracement level of the 2018-2020-decline crossing at $6.12 is the next upside target. Closes below the 20-day moving average crossing at $5.62 1/2 would confirm that a short-term top has been posted. First resistance is the 75% retracement level of the 2018-2020-decline crossing at $5.87 1/4. Second resistance is the 87% retracement level of the 2018-2020-decline crossing at $6.12. First support is the 20-day moving average crossing at $5.62 1/2. Second support is the December 7th low crossing at $5.30 3/4.

March Minneapolis wheat was lower overnight as it consolidates some of this month's rally. The low-range close sets the stage for a steady to lower opening when the day 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 March resumes the rally off December's low, November's high crossing at $5.86 is the next upside target. Closes below the 20-day moving average crossing at crossing at $5.61 3/4 would signal that a short-term top has been posted. First resistance is last-Wednesday's high crossing at $5.83 3/4. Second resistance is November's high crossing at $5.86. First support is the 20-day moving average crossing at crossing at $5.61 3/4. Second support is the December 16th low crossing at $5.54 1/4.      

SOYBEAN COMPLEX? http://quotes.ino.com/ex?changes/?c=grains "

March soybeans were higher overnight as it extends the rally off December's low. The low-range close sets the stage for a steady to higher opening when the day 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 March extends the rally off August's low, the 50% retracement level of the 2012-2019-decline crossing at $12.89 1/2 is the next upside target. Closes below the 20-day moving average crossing at $11.94 3/4 would signal that a short-term top has been posted while opening the door for a possible test of the 50-day moving average crossing at $11.43 1/2. First resistance is the overnight high crossing at $12.80 1/2. Second resistance is the 50% retracement level of the 2012-2019-decline crossing at $12.89 1/2. First support is the 10-day moving average crossing at $12.27. Second support is the 20-day moving average crossing at $11.94 3/4.

March soybean meal was higher overnight. The mid-range close sets the stage for a steady to higher opening when the day 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 March extends the rally off August's low, monthly resistance crossing at $432.50 is the next upside target. Closes below the 20-day moving average crossing at $394.10 would confirm that a short-term top has been posted. First resistance is last-Wednesday's high crossing at $422.80. Second resistance is monthly resistance crossing at $432.50. First support is the 10-day moving average crossing at $404.40. Second support is the 20-day moving average crossing at $394.10.       

March soybean oil was lower overnight as it consolidates some of the rally off October's low. The low-range close sets the stage for a steady to lower opening when the day 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 March extends the rally off October's low, monthly resistance crossing at 41.25 is the next upside target. Closes below the 20-day moving average crossing at 38.64 would confirm that a short-term top has been posted. First resistance is the overnight high crossing at 41.39. Second resistance is monthly resistance crossing at 41.25. First support is the 20-day moving average crossing at 38.51. Second support is the December 2nd low crossing at 36.42.      

LIVESTOCKhttp://quotes.ino.com/exchanges/?c=livestock 

February hogs closed up $1.95 at $67.98. 

February hogs closed sharply higher on Wednesday as it renewed the rally off December'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 February extends this month's rally, December's high crossing at $69.60 is the next upside target. Closes below last-Wednesday's low crossing at $64.65 would confirm that a short-term top has been posted. First resistance is today's high crossing at $68.13. Second resistance is December's high crossing at $69.60. First support is December's low crossing at $63.00. Second support is November's low crossing at $62.75. Third support is September's crossing at $61.55.     

February cattle closed up $1.33 at $114.78 

February cattle posted a key reversal up as it closed higher on Wednesday ending a two-day correction off Monday's high. The high-range close sets the stage for a steady to higher opening on Thursday. Stochastics and the RSI are turning neutral to bearish signaling that a double top with November's high might have been posted with Monday's high. Closes below the 50-day moving average crossing at $111.91 would signal that a short-term top has been posted. If February renews the rally off October's low, September's high crossing at $116.63 is the next upside target. If First resistance is November's high crossing at $115.45. Second resistance is September's high crossing at $116.63. First support is the 50-day moving average crossing at $111.91. Second support is the December 8^th low crossing at $110.55.   

March Feeder cattle closed up $0.15 at $142.03. 

March Feeder cattle closed higher on Wednesday. The high-range close sets the stage for a steady to higher opening when Thursday's 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 March extends the rally off October's low, August's high crossing at $145.30 is the next upside target. Closes below the 20-day moving average crossing at $140.42 would signal that a short-term top has been posted. First resistance is Tuesday's high crossing at $143.43. Second resistance is August's high crossing at $145.30. First support is the 20-day moving average crossing at $140.42. Second support is the December 7th low crossing at $137.25.        

FOOD & FIBERhttp://quotes.ino.com/ex changes/?c=food 

March coffee closed higher on Wednesday. The low-range close sets the stage for a steady to slightly higher opening on Thursday. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. Closes below the 20-day moving average crossing at 12.19 are needed to confirm that a short-term top has been posted. If March extends the rally off November's low, the 87% retracement level of the September-November decline crossing at 13.17 is the next upside target.     

March cocoa closed lower on Wednesday. The mid-range close sets the stage for a steady to higher opening on Thursday. Stochastics and the RSI are turning neutral to bullish signaling that a low might be in or is near. Closes above the 20-day moving average crossing at 26.08 would signal that a short-term low has been posted. Closes below the 50-day moving average crossing at 25.05 would open the door for a larger-degree decline.                        

March sugar closed 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 reaction high crossing at 15.07 would confirm that a short-term low has been posted. If March renews the decline off November's high, the October 30^th low crossing at 13.94 is the next downside target. 

March cotton closed higher on Wednesday as it consolidates some of Monday's decline. The high-range close sets the stage for a steady to higher opening on Thursday. Stochastics and the RSI are turning neutral to bearish signaling that sideways to lower prices are possible near-term. Closes below the 20-day moving average crossing at 73.80 would confirm that a short-term top has been posted. If March resumes the rally off April's low, the July-2018 high crossing at 79.56 is the next upside target.