Kleist Comments

MORNING GRAINS 8/13/13
MORNING GRAINS 8/13/13

Corn:

Exports: None Visible.

Comments: Not too much fresh news after the ‘surprise’ USDA report yesterday but we do have this: Key reversal? Record/near record volume? Higher open interest? Technically we got it all! Certainly means near term December’s $4.46-1/2 area now sacrosanct or close to it. Otherwise, crop ratings unchanged at 64% gd./excel.

***Corrected***

Thanks to a contact, I am guilty of a technical goof, one I berate other analysts for: December corn DID NOT have a ‘key reveresal’ and I was drawn back to June 2010 when December was listed at $4.01 as contract low.
so A 3 YEAR LOW REVERSAL? At least it was/is still a meaningful reversal.

Just maybe not as reliable. I regret the error. Better check my meds……..

SOYBEANS:

Exports: None Visible.

Comments: Well, not a ‘key reversal’; not record volume; and no change in total open interest. But quite the correction. And maybe a durable low under $12.00 and as such I am back to suggesting my ‘old old’ objective at $12.20-12.00 as back to significant support. End of August rains, early frosts, more lost acreage etc. likely to preclude say an $11.50 price for now; China’s economy rather than our crop production might be more important.

Wheat:
Exports: None Visible.
Comments: Spring wheat 66% gd./excel. dn. 2% (Idaho/Montana); open interest little changed but volume at least looked near record high or in the top 10%. The charts are less forgiving though, posting no definitive reversals and action seems to be buying corn/selling wheat as mentioned.

Kleist Comments

This is John Kleist, of Kleist Ag Consulting.
Questions? Email me: johnwkleist@sbcglobal.net

Disclaimer: Trading options and commodities involves risk of loss and my not be for every investor. Past trading results may not be indicative of future performance. Although information and opinions provided herein are compiled from sources believed reliable, the sender, EBOT Trading, or its principals cannot attest as to accuracy or assume any responsibility for any errors or omissions as the information may not be complete or events may have changed.