After a strong showing to start the week corn was unable to continue the ride as weather continues to improve in South America, strengthening dollar and money flowing out of commodities and into equities. Funds sold off an estimated 4K contracts on Friday as improving fundamental picture in Brazil & Argentina and a failure to break $3.60 was a technical sell signal. The rains that where called for S. America did arrive and the 6-10 for both growing regions remains wetter. With the holidays coming up news “should” become even scarcer and attention pulled away as traders look to presents and dinner table. But most already have their eyes on the Jan 12th WASDE/Stocks reports. Cash movement has been minimal with flat price failing to break into the higher 360’s, while there should be some strong congestation between $3.50-3.55 stranger things have happened. Looking ahead to the rest of today and most likely the rest of the week, see a range bound trade between $3.60-3.50. Corn is a just a bit friendly with index funds rolling positions shows a bit of a buying power in corn. CH has support at $3.55 then $3.50 with resistance at $3.5975 then $3.61.
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