For the past 6 months, I’ve been constructive on Corn prices. And last winter, it separated itself from the other grains by rallying in the face of a stronger US Dollar. This past week was like a fractal of late last year, with spot Corn prices up 1.55%. Other grains were up as well, with Soybeans jumping 2.9% and Wheat 0.3%.
But Corn has stood out as the leader of this pack. Both Wheat and Soybeans are still battling overhead resistance, while Corn is holding above price support. As we headed into the New Year, I wrote about Corn’s rally and subsequent “orderly” pullback. On a multiple occasions this year I’ve highlighted key price support levels for Corn. Those come in at 3.67 and 3.55. Â Note that 3.67 held on its first test.
The past few weeks has seen a sideways channel develop for Corn prices. A break back below 3.80 could signal a retest of the 3.65 area, while a break above 3.96 would signal a retest of the recent highs.
Corn Prices, along with Wheat and Soybeans
That said, the whole sector would get a lift if Wheat and Soybeans could break above critical resistance. March will likely bring some clarity to the Grains next move.
Thanks for reading.
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No position in any of the mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
