Soybeans Commentary

storck

Soybeans – Just My Opinion

July Soybeans closed 7 cents lower ($8.21 ½), August 7 ¼ cents lower ($8.28 ¼) & Nov 7 cents lower ($8.48 ¼)

July Soybean Meal closed $1.1 lower ($297.2), August $1.0 lower ($298.9) & Dec $0.8 lower ($305.6)

July Soybean Oil closed 53 pts lower ($26.78), August 52 pts lower ($26.91) & Dec 51 pts lower ($27.50)

Weekly Soybean Export Sales – 535.8 K T. old crop 0-400 K T. expected – 5.1 K T. new crop vs. 100-400 K T. expected

Weekly Soybean Meal Export Sales – 188.0 K T. old crop vs. 50-300 K T. expected – 112.0 K T. new crop vs. 25-100 K T. expected

Weekly Soybean Oil Export Sales – 9.1 K T. old crop vs. 4-25 K T. expected – no new crop vs. none expected

The July soybean chart is still featuring a downflag coming off of the 3 day rally that started on Monday, the 13th. We have seen a steady progression of lower highs and lower lows. I’m thinking we need to hold the $8.15 level or we could see a drop to $8.05. November soybeans are not too dissimilar looking. $8.40 is the initial support level for this formation. Failure there could get us $8.30 – $8.25 in a real hurry.

The July meal chart, too, has the semblance of a downflagging formation. If this is indeed a friendly formation I would like, minimally, to see a close over $301.0 – $302.0. Closes below $293.0 suggest a move down to the mid-high $380.0’s.

The July bean oil chart is the ugliest in the complex (thank you very much crude oil). $26.40 is the best looking support and that’s not saying a whole lot. $27.50 to $27.75 is almost impressive looking as new near term resistance.

Daily Support & Resistance for 05/24

July Soybeans: $8.15 ($8.05) – $8.35

July Soybean Meal: $294.0 – $302.0

July Soybean Oil: $26.40 – $27.20

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