by Duane Lowry
Tuesday, August 28, 2012
SUNRISE OUTLOOK OVERVIEW:
*At 7:12 am> Grain/Soy Snapshots: Corn= 1 lower,    Wheat= 1/2 lower,    Soybeans= 6 3/4 lower.
Day Session Expectations vs Night Session Tone:
Dec Corn: Support= $7.90,   Resistance= $8.10
*Stabilization and recovery attempts. Â Â Â Â
Nov Soybeans: Support= $17.15,    Resistance= $17.30-35
*Stabilization and recovery attempts. Â Â Â Â Â
Dec Wheat: Support= $8.65,   Resistance= $8.95
*Recovery action. Â
Outside Market Influences:
At 7:11 am> Price Snapshots: Crude was up $0.86, Gold was down $9.30, Dow Index was down 3 and the US $ was down 24.
*Stocks remain vulnerable to trending lower values. Crude strength should be short-lived. US Dollar should be well supported on minor weakness.
Weather will significantly increase moisture across the Delta and the southern and eastern Midwest during the next week, as Isaac makes landfall. Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
Wheat has little for news. Short-term technical conditions should be able to stabilize values after a 4 day slide. Recovery action will unearth selling interest tomorrow. Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
Corn continues to underperform popular expectations and is in the process of creating a rolling over chart appearance. Short-term conditions seem capable of producing recovery efforts today. Selling interest is likely to build on probes of $8.10. Yield reports, while still low, may have more "better than expected" themes than most considered possible. Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
Soybeans traded both sides in a choppy overnight session that again failed to hold early impressive gains. New news is limited. Concerns exist about far southern Delta vulnerability to Isaac. Short-term technical conditions seem capable of producing stabilizing price action and a higher close today. Overall conditions warn of an approaching liquidation event. Expect selling interest to build on probes above $17.30. Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
In summary, overnight action was weak, but we may be able to generate a stabilizing recovery performance today. Overall conditions suggest selling interest will build on 1-2 day bounce efforts. We are poised for liquidation pressures and price weakness to expand during the next few weeks. Â Â Â Â Â Â Â Â Â Â
CORN:
Barge Values: August= +30 U
CZ: Support= 7.45-55,   Resistance= 8.08-13
**PROFILE: Dec Corn> Rolling over chart action continues to underperform popular/universal expectations. After 4 down days, recovery potential exists for today. Expect selling interest to surface around $8.10, basis Dec. Notable risk of a thorough cleansing liquidation phase unfolding during the next few weeks. Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
SOYBEANS:
Barge Values: August= +105 X
SX: Support= 16.65, Resistance= 17.30-50
SMZ: Support= 500, Resistance= 520-25
BOZ: Support= 54.00, Resistance= 57.00
**PROFILE: Nov Soybeans> Short-term recovery efforts will find selling interest building around $17.30. IN SUMMARY, due for a major liquidation event. Â Â Â Â Â Â Â Â Â Â
WHEAT:
Barge SRW Values: August= +30 U
WZ: Support= 8.45, Resistance= 9.00
**PROFILE: Chicago December Wheat> Selling interest will build on any 1-2 day bounce effort. Â Â Â Â Â Â Â
GLOBAL HIGHLIGHTS & HEADLINES: Corn and soybean ratings each slipped 1% point last week.
This newsletter is prepared from information believed to be reliable. Early Market News, Inc. does not guarantee that such information is accurate or complete and it should not be relied upon as such. Opinions expressed are subject to change without notice.