May Chicago Board of Trade corn maintains a tight, coiling, sideways movement within a 20 cent range. Corn is torn between fundamentally large old crop stocks pushing price down and concerns about reductions in new crop plantings pushing price up. There could be a major breakout depending depending on which fundamental prevails. The longer the sideways movement, the greater the potential of a major move after a breakout. Major resistance at the February 9th high of $4.00 and support at January 30th low of $3.73 3/4. Minor support is at the February low of $3.80.
May Kansas City wheat saw favorable gains this week with covering of short funds continuing from Friday of last week. On Thursday, price tested but could not close above major resistance at the March 3rd high of $5.48. Friday is seeing a fall as the overall bearish trend of wheat is poised to continue.
May Chicago Board of Trade soybeans dropped from last week as the overall trend is bearish. Prices maintained a sideways trend and tested support at $9.76 on Friday. Declines under this support would reignite the near term bear trend with a target of $9.71 at the Feb 11 low.