Soybeans Tech Update
Grain Market Commentary
Wednesday, April 10, 2019
by Jacob Christy, Freedom Program Trader
Bean futures saw a third consecutive close within pennies of 900 yesterday as the market remains listless. A ho-hum crop report, and lack of fresh trade deal news have kept participation limited. Prices now sit stuck in a tight technical range, which could hold things until the next domino falls.
Bean futures have chopped around the 900-mark for the past four days. The market continues to struggle against its four month long descending trend line and hasn’t spent meaningful time above the major moving averages since January. Despite this, prices have shown resilience in the support range from 885-890. Momentum is neutral and will remain sideways until one side of the range is broken.
Fundamentally beans are overpriced, but the hope of a trade deal has delayed the collapse. It’s hard to see what changes in the short term. Until something does, expect more choppy action between the technical resistance and support outlined above.