July Chicago Board of Trade corn started out the week well while it followed wheat higher into Wednesday before the supply and demand report came out. The report was bearish for wheat so corn followed wheat back down. Corn was unable to close above the 40-day moving average on Wednesday which would have been a good short-term bullish pattern. Short term resistance currently lies at $3.63, the 40-day moving average and long-term resistance is at $3.67. Support lies at $3.48.
July Kansas City wheat had a rough go on Wednesday when the supply and demand report came out a little more bearish than expected. Prices fell Wednesday and Thursday. Prices are currently testing support at $5.23 which is also near the 40-day moving average. If prices can remain above these levels we are still in a bullish pattern. Other support lies at $4.95 and $4.85. Resistance lies at $5.53 and $5.64.