Corn Tech Update

A back and forth session for corn which saw prices on either side of unchanged. Overnight markets were weaker, but the uncertainty on new crop yields and acreage were enough to lift prices by midday. The surge in beans and wheat also supported. Prices couldn’t hold their gains however and slipped to within pennies of unchanged by the close.  

Corn futures sit in a flagging pattern as traders await the next weather domino to fall. Prices have held the range from 407-435 since the highs were scored earlier this month. The chart gap from 405-407 remains open and has supported two separate breaks. To the upside the market is still struggling to clear 435-440.

With funds now long, the easy part of the rally is over. The reversal off the high again today indicates the bulls will need more to keep the rally going. To the downside keep an eye on the open chart gap as a clear sign of consolidation.