We saw our 3 trading day of range bound trade as corn only had a 6 cent range after hitting a high of $3.4350 and settling the day at $3.3950. The funds where again an estimated net even as heavy downside pressure remains, but see strong cash push from the gulf as export demand is strong. This market seems to be fighting that thought of large supply with the thought of a record demand, but which one will materialize? Models showing heat coming back next week as of right now, but with the rains expected the end of this week and rolling into next and almost all the crop past pollination it seems to bring little effect just yet. China corn reserve sales that were talked about earlier this spring have been much lower than expected as quality is an issue, and you have plentiful cheap world corn. Could see a bounce off a large bean rally as the heat hits the beans as poding begins, but the trade seems content staying range bound until we get a better idea of Aug weather and what private yield estimates bring. Looking for a steady day, chance of testing resistance level or passing it if beans rally. CZ has support at $3.36 and resistance at $3.47.
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