To start the week wheat opened the session mixed with Mpls and Chicago higher while KC started off lower. It did not take long for all three of the wheat exchanges to extend session gains and continue to push higher throughout the session. Weather concerns and spillover support from the other grains gave wheat support early in the session. Weather forecasts are calling for the Northern Plains to see hot muggy wet conditions over the next 1 to 5 days followed by hot and dry conditions, which could result in disease concerns. If this is a true weather rally, wheat should see strength for the next 2 to 3 days, before maturing. Technically look for Sept Mpls wheat to test $6.50 to $6.75.
Wheat opened Tuesday’s session lower in all three exchanges and continued to trade on the defense throughout the night session. Early selling was tied to profit-taking and technical selling as traders look to test the resolve of the new longs. Wheat turned sloppy once the day session started but managed to shake off the selling pressure and post small gains by the close. Weather forecasts for the 6-to-15-day forecast calling for more heat and less rain helped give wheat its push later in the session. Monday afternoon’s lower than expected crop rating for Mpls added support.
In Wednesday’s session wheat opened the session steady to lower but shook off the early selling pressure to post solid gains by the end of the night. Early support came from technical buying as wheat continues to try and reach the 50% retracement level. But wheat could not hold the gains going into the day. Wheat has closed with gains in each of the past 5 sessions (MW and KC) so a bit of profit taking would not be out of line. Overnight rains in the Northern Plains and forecasts for rain in the 11 to 15 day forecast added pressure. War concerns also added pressure to the wheat due to increasing fuel costs and fertilizer supply concerns. Friday’s report should be friendly wheat due to the lower-than-expected acreage drop seen in the Acreage Report.
Wheat opened Thursday’s session lower in all three exchanges but turned to end the night session mixed with Mpls posting small gains while Chicago and KC remained in the red. Technical selling combined with spill over pressure from the other grains to pressure wheat early in the session. But once the day session started wheat found support and turned higher. Reports of quality concerns in the SRW wheat combined with disease concerns in the Northern Plains helped to give wheat a bounce. Late session support came from last minute position squaring ahead of Friday’s USDA report. The report is expected to be friendly wheat.
Sept MIAX MW support is at $6.00; Sept Chicago wheat support is $5.71; Sept KC support is $6.00.
For the week, Sept MIAX was at $6.525 up 33.25 cents, Sept Chicago was at $6.4025 up 30.5 cents, Sept KC was at $6.7625 up 37.75 cents.
Wheat Weekly Comments July 10
Wheat Weekly Comments July 10
To start the week wheat opened the session mixed with Mpls and Chicago higher while KC started off lower. It did not take long for all three of the wheat exchanges to extend session gains and continue to push higher throughout the session. Weather concerns and spillover support from the other grains gave wheat support early in the session. Weather forecasts are calling for the Northern Plains to see hot muggy wet conditions over the next 1 to 5 days followed by hot and dry conditions, which could result in disease concerns. If this is a true weather rally, wheat should see strength for the next 2 to 3 days, before maturing. Technically look for Sept Mpls wheat to test $6.50 to $6.75.
Wheat opened Tuesday’s session lower in all three exchanges and continued to trade on the defense throughout the night session. Early selling was tied to profit-taking and technical selling as traders look to test the resolve of the new longs. Wheat turned sloppy once the day session started but managed to shake off the selling pressure and post small gains by the close. Weather forecasts for the 6-to-15-day forecast calling for more heat and less rain helped give wheat its push later in the session. Monday afternoon’s lower than expected crop rating for Mpls added support.
In Wednesday’s session wheat opened the session steady to lower but shook off the early selling pressure to post solid gains by the end of the night. Early support came from technical buying as wheat continues to try and reach the 50% retracement level. But wheat could not hold the gains going into the day. Wheat has closed with gains in each of the past 5 sessions (MW and KC) so a bit of profit taking would not be out of line. Overnight rains in the Northern Plains and forecasts for rain in the 11 to 15 day forecast added pressure. War concerns also added pressure to the wheat due to increasing fuel costs and fertilizer supply concerns. Friday’s report should be friendly wheat due to the lower-than-expected acreage drop seen in the Acreage Report.
Wheat opened Thursday’s session lower in all three exchanges but turned to end the night session mixed with Mpls posting small gains while Chicago and KC remained in the red. Technical selling combined with spill over pressure from the other grains to pressure wheat early in the session. But once the day session started wheat found support and turned higher. Reports of quality concerns in the SRW wheat combined with disease concerns in the Northern Plains helped to give wheat a bounce. Late session support came from last minute position squaring ahead of Friday’s USDA report. The report is expected to be friendly wheat.
Sept MIAX MW support is at $6.00; Sept Chicago wheat support is $5.71; Sept KC support is $6.00.
For the week, Sept MIAX was at $6.525 up 33.25 cents, Sept Chicago was at $6.4025 up 30.5 cents, Sept KC was at $6.7625 up 37.75 cents.