KEY EVENTS TO WATCH FOR:

Wednesday, December 28, 2022 

8:55 AM ET. Johnson Redbook Retail Sales Index

                       Ret Sales Mo-to-Date, Y/Y% (previous +6.4%)

                       Latest Wk, Y/Y% (previous +7.6%)

10:00 AM ET. December Richmond Fed Business Activity Survey

                       Mfg Idx (expected -10; previous -9)

                       Shipments Idx (previous -8)

10:00 AM ET. November Pending Home Sales Index

                       Pending Home Sales (previous 77.1)

                       Pending Home Sales Idx, M/M% (expected -1.8%; previous -4.6%)

                       Pending Home Sales Idx , Y/Y% (previous -37.0%)

4:30 PM ET. API Weekly Statistical Bulletin

                       Crude Stocks, Net Chg (Bbls) (previous -3.1M)

                       Gasoline Stocks, Net Chg (Bbls) (previous +4.5M)

                       Distillate Stocks, Net Chg (Bbls) (previous +0.8M)

The STOCK INDEXES? http://quotes.ino.com/ex?changes/?c=indexes

The Dow closed slightly higher on Tuesday as it extends the trading range of the past six-days. The mid-range close sets the stage for a steady to higher opening when Wednesday's day session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving average crossing at 33,615.28 would signal that a short-term low has been posted. Closes below last-Monday's low 32,581.97 would mark a resumption of the decline off December's high while opening the door for a possible test of November's low crossing at 31,727.05. First resistance is the 20-day moving average crossing at 33,615.28. Second resistance is December's high crossing at 34,712.28. First support is last-Thursday's low crossing at 32,573.43. Second support is November's low crossing at 31,727.050.  

The March NASDAQ 100 closed lower on Tuesday as it extends the decline off December's high. The low-range close sets the stage for a steady to lower opening when Wednesday's day session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling sideways to lower prices are possible. If March extends the aforementioned decline, November's low crossing at 10,746.75 is the next downside target. Closes above the 20-day moving average crossing at 11,598.33 would signal that a short-term low has been posted. First resistance is the 10-day moving average crossing at 11,336.90. Second resistance is the 20-day moving average crossing at 11,598.33. First support is last-Thursday's low crossing at 10,870.50. Second support is November's low crossing at 10,746.75. 

The March S&P 500 closed lower on Tuesday as it extends last-week's trading range. The low-range close sets the stage for a steady to lower opening when Wednesday's day 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 March extends the aforementioned decline, November's low crossing at 3735.00 is the next downside target. Closes above the 20-day moving average crossing at 3968.19 would confirm that a short-term low has been posted. First resistance is the 50-day moving average crossing at 3928.11. Second resistance is the 20-day moving average crossing at 3968.19. First support is the November 9^th low crossing at 3782.75. Second support is November's low crossing at 3735.00.      

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March T-bonds closed down 1-24-pts. at 125-13. 

March T-bonds closed sharply lower on Tuesday as it extended the decline off December's high.The low-range close sets the stage for a lower opening when Wednesday's day 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 March extends the decline off last-Thursday's high, the 50% retracement level of the October-December rally crossing at 124-31 is the next downside target. Closes above the 20-day moving average crossing at 129-11 would signal that a short-term low has been posted. First resistance is December's high crossing at 132-15. Second resistance is the 62% retracement level of the August-October decline crossing at 133-30. First support is the 50% retracement level of the October-December rally crossing at 124-31. Second support is the 62% retracement level of the October-December rally crossing at 123-06.

March T-notes closed down 220-pts. at 112.125.

March T-notes closed lower on Tuesday as it extends the decline off December's high and closed below the 50-day moving average crossing at 112.182 thereby opening the door for additional weakness near-term. The low-range close sets the stage for a steady to lower opening when Wednesday's day 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 March extends the decline off December's high, minor support crossing at 112.055 is the next downside target. Closes above the 20-day moving average crossing at 114.015 would signal that a short-term low has been posted. First resistance is the 50% retracement of the August-October decline crossing at 115.090. Second resistance is the 62% retracement of the August-October decline crossing at 116.232. First support is minor support crossing at 112.055. Second support is the November 8^th low crossing at 109.225. 

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

February crude oil closed slightly higher on Tuesday as it extends the rally off December's low. The low-range close sets the stage for a steady to lower opening when Wednesday's day session begins. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If February extends the aforementioned rally, December's high crossing at $83.27 is the next upside target. Closes below the December 16^th low crossing at $73.40 would signal that a short-term top has been posted. First resistance is the 50-day moving average crossing at $80.71. Second resistance is December's high crossing at $83.27.First support is the December 16^th low crossing at $73.40. Second support is the December 9^thlow crossing at $70.31. 

February heating oil closed sharply higher on Tuesday and closed above the 50-day moving average crossing at $3.2454 as it renewed the rally off December's low. The high-range close sets the stage for a steady to higher opening when Wednesday's day trading session begins. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If February extends the rally off the December 9^th low, December's high crossing at $3.3439 is the next upside target. Closes below last-Tuesday's low crossing at $2.9682 would signal that a short-term top has been posted. First resistance is today's high crossing at $3.3543. Second resistance is the November 15^th high crossing at $3.4722. First support is last-Tuesday's low crossing at $3.9682. Second support is the December 9^th low crossing at $2.7517.

February unleaded gas closed lower on Tuesday but remains above the 50-day moving average crossing at $2.3542. The low-range close sets the stage for a steady to lower opening when Wednesday's 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 February extends this month's rally, the November 14^th high crossing at $2.5783 is the next upside target. Closes below the December 16^th low crossing at 2.1157 would signal that a short-term top has been posted. First resistance is today's high crossing at $2.4241. Second resistance is the November 14^th high crossing at $2.5783. First support is the 20-day moving average crossing at $2.2226. Second support is the December 16^th low crossing at 2.1157.  

February Henry natural gas closed slightly higher on Tuesday. The low-range close sets the stage for a steady to lower opening when Wednesday's day 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 February extends the aforementioned decline, the 75% retracement level of the 2020-2022 rally crossing at 4.332 is the next downside target. Closes above the 50-day moving average crossing at 6.180 would signal that a short-term low has been posted.First resistance is the 10-day moving average crossing at 5.698. Second resistance is the 20-day moving average crossing at 5.924. First support is last-Friday's low crossing at 4.779. Second support is the 75% retracement level of the 2020-2022 rally crossing at 4.332. 

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

The March Dollar closed lower on Tuesday as it extends the trading range of the past two-weeks. The mid-range close sets the stage for a steady to lower opening when Wednesday's 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 20-day moving average crossing at 104.416 would signal that a short-term low has been posted. If March renews the decline off September's high, the 75% retracement level of the January-September rally crossing at $101.331 is the next downside target. First resistance is the 20-day moving average crossing at 104.416. Second resistance is the November 30^thhigh crossing at 106.775. First support is the December 15^th low crossing at $102.875. Second support is 75% retracement level of the January-September rally crossing at $101.331.  

The March Euro posted a slightly higher close on Tuesday as it extends the extends the trading range of the past three-weeks. The mid-range close sets the stage for a steady to higher opening when Wednesday's 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 September's low,the March 31^st high crossing at $1.09680 is the next upside target. Closes below the 20-day moving average crossing at 1.06288 would signal that a short-term top has been posted. First resistance is the 25% retracement level of the 2018-2022 decline crossing at $1.07982. Second resistance is the March 31^st high crossing at $1.09680. First support is the 20-day moving average crossing at $1.06288. Second support is the November 30^th low crossing at $1.03715. 

The March British Pound closed lower on Tuesday as it extended the decline off December's high. The low-range close sets the stage for a steady to lower opening when Wednesday's day session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling sideways to lower prices are possible near-term. If March extends the decline off December's high, the 50-day moving average crossing at 1.1866 is the next downside target. Closes above the 20-day moving average crossing at 1.2205 would signal that a short-term low has been posted. If March renews the rally off September's low, the 62% retracement level of the May-September decline crossing at 1.2770 is the next upside target. First resistance is December's high crossing at 1.2479. Second resistance is the 62% retracement level of the May-September decline crossing at 1.2770. First support is the November 30^th low crossing at 1.1937. Second support is the 50-day moving average crossing at 1.1866.    

The March Swiss Franc closed higher on Tuesday. The high-range close sets the stage for a steady to higher opening when Wednesday's 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 1.08115 would signal that a short-term top has been posted. If March renews the rally off September's low, the 62% retracement level of the 2018-2022 decline crossing at 1.10351 is the next upside target. First resistance is December's high crossing at 1.09665. Second resistance is the 62% retracement level of the 2018-2022 decline crossing at 1.10351. First support is the 20-day moving average crossing at 1.08115. Second support is the November 30^th low crossing at 1.06060.

The March Canadian Dollar closed higher on Tuesday as it extends the trading range of the past four-weeks. The mid-range close sets the stage for a steady to higher opening when Wednesday's day session begins trading. Stochastics and the RSI have turned neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the December 12^th crossing at 74.06 would confirm that a short-term low has been posted. If March renews the decline off November's high, the November 3^rd low crossing at 72.58 is the next downside target. First resistance is the December 5^th high crossing at 74.82. Second resistance is the November 25^thhigh crossing at 75.16. First support is the December 16^th low crossing at 73.04. Second support is the November 3^rd low crossing at 72.58.

The March Japanese Yen closed lower for the fourth-day in a row on Tuesday. The low-range close sets the stage for a steady to lower opening when Wednesday’s 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 20-day moving average crossing at 0.074681 would confirm that a short-term top has been posted. If March renews the rally off October's low, August's high crossing at 0.078135 is the next upside target. First resistance is last-Tuesday's high crossing at 0.077470. Second resistance is August's high crossing at 0.078135. First support is the 10-day moving average crossing at 0.075234. Second support is the 20-day moving average crossing at 0.074681.  

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February gold closed higher on Tuesday. The mid-range close sets the stage for a steady to higher opening when Wednesday's 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 $1800.80 would signal that a short-term top has been posted while opening the door for additional weakness near-term. If February extends the rally off November's low, the 50% retracement level of the March-October decline crossing at $1861.40 is the next upside target. First resistance is today's high crossing at $1841.90. Second resistance is the 50% retracement level of the  March-October decline crossing at $1861.40. First support is the 20-day moving average crossing at $1800.80. Second support is the November 23^rd low crossing at $1733.50.

March silver closed higher on Tuesday. The mid-range close sets the stage for a steady to higher opening when Wednesday's day session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends the rally off October's low, the 75% retracement level of the March-August decline crossing at 24.779 is the next upside target. Closes below the 20-day moving average crossing at 23.278 would confirm that a short-term top has been posted while opening the door for additional weakness near-term. First resistance is last-Wednesday's high crossing at 24.525. Second resistance is the 75% retracement level of the March-September decline crossing at 24.779. First support is the 20-day moving average crossing at 23.278. Second support is the December 16^th low crossing at 22.735.    

March copper gapped up and closed higher on Tuesday. The low-range close sets the stage for a steady to lower opening when Wednesday's 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 renews the rally off September's low, the 50% retracement level of the March-July decline crossing at 4.0343 is the next upside target. Closes below last-Tuesday's low crossing at 3.7230 would confirm that a short-term top has been posted. First resistance is November's high crossing at 3.9470. Second resistance is the 50% retracement level of the March-July decline crossing at 4.0343. First support is last-Tuesday's low crossing at 3.7230. Second support is the 50-day moving average crossing at 3.6616.

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

March Corn closed up $0.08 1/2-cents at $6.74 3/4. 

March corn closed higher on Tuesday and above the 50-day moving average crossing at $6.68 3/4 as it extended the rally off December's low. The high-range close sets the stage for a steady to higher opening when Wednesday's 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, October's downtrend line crossing near $6.82 1/2 is the next upside target. Closes below the 20-day moving average crossing at $6.53 3/4 would signal that a short-term top has been posted. First resistance is today's high crossing at $6.75 3/4. Second resistance is October's downtrend line crossing near $6.82 1/2. First support is the 20-day moving average crossing at $6.53 3/4. Second support is the December 19^th low crossing at $6.44.  

March wheat closed down $0.01 1/2-cents at $7.74 1/2.  

March wheat closed lower on Tuesday. The mid-range close sets the stage for a steady to lower opening when Wednesday's 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 50-day moving average crossing at $8.11 3/4 is the next upside target. If March renews the decline off October's high, the September 9, 2021 low crossing at $6.94 is the next downside target. First resistance is today's high crossing at $7.84 1/2. Second resistance is the 50-day moving average crossing at $8.11 3/4. First support is the 75% retracement level of the 2018-2022 rally crossing at $7.24 1/4. Second support is the September 9, 2021 low crossing at $6.94.

March Kansas City Wheat closed up $0.04 1/2-cents at $8.79 1/4.

March Kansas City wheat closed higher on Tuesday. The mid-range close sets the stage for a steady to higher opening when Wednesday's 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 50-day moving average crossing at $9.06 3/4. If March renews the decline off October's high, August's low crossing at $8.18 3/4 is the next downside target. First resistance is today's high crossing at $8.94 3/4. Second resistance is the 50-day moving average crossing at $9.06 3/4. First support is the 19^th low crossing at $8.30 3/4. Second support is the December 6^th low crossing at $8.21 3/4.

March Minneapolis wheat closed up $0.02 1/2-cents at $9.34 1/4.

March Minneapolis wheat closed higher on Tuesday. The mid-range close sets the stage for a steady to higher opening when Wednesday's 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. Closes above the 50-day moving average crossing at $9.44 3/4. If March renews the decline off November's high, August's low crossing at $8.75 3/4 is the next downside target. First resistance is the 50-day moving average crossing at $9.45 1/2. Second resistance is the November 15^th high crossing at $9.91 1/4. First support is last-Monday's low crossing at $9.00 3/4. Second support is the December 6^th low crossing at $8.90. 

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

March soybeans closed up $0.04 1/2-cents at $14.89.

March soybeans closed higher on Tuesday while extending this month's trading range. Early strength collapsed in the afternoon session and the low-range close sets the stage for a steady to lower opening when Wednesday's day trade begins. Stochastics and the RSI are neutral to bearish signaling that sideways trading is possible near-term. If March extends the rally off October's low, the 87% retracement level of the June-July decline crossing at $15.37 1/2 is the next upside target. Closes below last-Tuesday's low crossing at $14.62 1/4 would signal a possible downside breakout of this month's trading range while opening the door for additional weakness near-term. First resistance is today's high crossing at $15.22 3/4. Second resistance is the 87% retracement level of the June-July decline crossing at $15.37 1/2. First support is last-Tuesday's low crossing at $14.62 1/4. Second support is the 50-day moving average crossing at $14.47 3/4.    

March soybean meal closed down $3.50 at $447.80. 

March soybean meal posted a key reversal down and closed lower on Tuesday as it extends this month's trading range. The low-range close sets the stage for a steady to lower opening when Wednesday's 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 $444.60 would confirm a downside breakout of the aforementioned trading range. If March renews the rally off October's low, monthly resistance on the continuation chart crossing at $478.60 is the next upside target. First resistance is the December 9^th high crossing at $469.30. Second resistance is monthly resistance crossing at $478.60. First support is the 20-day moving average crossing at $444.60. Second support is the 38% retracement level of the 2021-2022 rally crossing at $433.00. 

March soybean oil closed up 174-pts. At 66.39. 

March soybean oil closed sharply higher on Tuesday as it extends the rally off December's low. The high-range close sets the stage for a steady to higher opening when Wednesday's 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. Closes above the 50-day moving average crossing at 66.96 would open the door for additional gains near-term. Closes below last-Thursday's low crossing at 63.50 would signal that a short-term top has been posted. First resistance is the 50-day moving average crossing at 66.96. Second resistance is the November 29^th high crossing at 72.49. First support is last-Thursday's low crossing at 63.50. Second support is the December 16^th crossing at 61.47.  

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

February hogs closed up $3.53 at $91.60. 

February hogs closed sharply higher on Tuesday as it extends the rally off December's low. The high-range close sets the stage for a steady to higher opening when Wednesday's day 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 $91.90 is the next upside target. Closes below the 10-day moving average crossing at $86.20 would signal that a short-term top has been posted. First resistance is today's high crossing at $91.60 Second resistance is December's high crossing at $91.90. First support is last-Wednesday's low crossing at $83.90. Second support is December's low crossing at $81.52.

February cattle closed unchanged at $157.75. 

February cattle closed unchanged on Tuesday. The mid-range close sets the stage for a steady to higher opening on Wednesday. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If February extends this month's rally, the 87% retracement level of the monthly continuation chart crossing at $159.54 is the next upside target. Closes below the 50-day moving average crossing at $155.31 would signal that a short-term top has been posted. First resistance is today's high crossing at $158.43. Second resistance is the 87% retracement level of the monthly continuation chart crossing at $159.54. First support is the 10-day moving average crossing at $156.48. Second support is the 20-day moving average crossing at $155.76.  

March Feeder cattle closed down $1.28 at $185.48. 

March Feeder cattle posted a key reversal down as it closed lower on Tuesday. The low-range close sets the stage for a steady to lower opening when Wednesday's 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 the September 20^th high crossing at $188.23 is the next upside target. Closes below the 50-day moving average crossing at $183.15 would confirm that a short-term top has been posted while opening the door for additional weakness near-term. First resistance is today's high crossing at $187.18. Second resistance is the 75% retracement level of the August-October decline crossing at $188.29. First support is the 20-day moving average crossing at $184.86. Second support is the 50-day moving average crossing at $183.15.      

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

March coffee closed lower on Tuesday. The low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are turning neutral to bearish signaling sideways to lower prices are possible near-term. If March renews the decline off August's high, November's low crossing at $15.41 is the next downside target. Closes above the December 16^th high crossing at $17.38 would open the door for additional gains near-term. First resistance is the December 16^th high crossing at $17.38. Second resistance is November's high crossing at $17.82. First support is November's low crossing at $15.41. Second support is the 75% retracement level of the 2020-2022 rally crossing at $14.74. 

March cocoa closed slightly higher on Tuesday as it extends the rally off September's low. The mid-range close sets the stage for a steady to higher opening on Wednesday. Stochastics and the RSI are overbought but remain neutral to bullish signaling sideways to higher prices are possible near-term. If March extends the rally off September low, the March-2022 high on the weekly continuation chart crossing at 27.10 is the next upside target. Closes below the reaction low crossing at 24.68 would signal that a short-term top has been posted while opening the door for additional weakness near-term.            

March sugar closed sharply lower on Tuesday as it consolidated some of the rally off September's low. The low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are overbought but are turning neutral to bearish signaling that sideways to lower prices are possible near-term. Closes below the 20-day moving average crossing at 19.96 would signal that a short-term top has been posted. If March extends the rally off September's low, weekly resistance on the weekly continuation chart crossing at 26.46 is the next upside target.   

March cotton closed lower on Tuesday. The low-range close sets the stage for a steady to lower opening on Wednesday. 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 81.81 would signal that a short-term top has been posted. If March extends the rally off October's low, the 50% retracement level of the August-October decline crossing at 93.31 is the next upside target.