There is a Head and Shoulders bottom on a monthly corn chart. This move could be big. $4.30 Corn??? Beans in the teens??? As diabolical as this year has been worldwide, this would be another negative for the consumer. Can it get any worse?
not likely. i live in corn and bean country. unless things change we are shaping up for very nice growing conditions. we had early spring and are getting timely rains. of course it could stop raining tomorrow and change it all. cattle are a different story tho. we had a bad drought last year and many cattle were liquidated. that always means a shortage the following year.
Being a technician and living on the paved streets of Chicago, only when it rains on LaSalle Street do we consider it raining in the corn and bean belt. Thank you for the heads up though. I really do appreciate it. This far north we have had no measurable precipitation this winter. We have had a bit lately but Feb was our driest month ever on record. This is a Fibonacci bull year. As Dirty Harry would say, "feel lucky punk". Please do not take offense. Why are the beans firm?
no idea. all i know is i live in the middle of corn and bean country and it has been raining off and on all month. in fact we are getting rain right now. we are now above average rainfall for this time of year.
i think the beans are firm because traders remember we had a drought last year. i suppose until a crop report comes out that changes their mind they will run with it. but i dont trade commodities so am just guessing.
Everything goes in cycles. This year all the dismal (wet) weather passed well south of Chicago and Iowa. Nebraska was borderline dry. I am a financials fundamentalist/technician, but pure mental when it comes to the grains. The charts tell me this is the year. With all the other bogus happenings worldwide, I would not be short ANY commodities. My gut trading has kept me in this industry 25 years. Feel lucky punk?