Is There a Silver Lining?

Grain Express

April 18, 2019

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Corn, Soybeans, Wheat


Corn (May)


Yesterdays Close: May corn futures finished yesterdays session down of a cent, trading in a range of 3 cents.


Fundamentals: The corn market couldnt get anything going yesterday, thanks to a slow news day and an overall slow trade day. We would not be all that surprised to see something similar today as we head into a long weekend. Yesterdays weekly EIA ethanol report showed production increased by 14,000 barrels per day to 1,016,000 bpd. Export sales this morning came in at 966,000 metric tons, above the top end of expectations. We know the funds have a record net short position while the producers are holding a net long position for the first time on record. When the funds eventually look to cover, producers will be there ready to sell, potentially limiting the velocity of a short covering rally. May options will go off the board next week, this may keep a lid on volatility and prices for the next 9 sessions.


Technicals: Yesterday did....Get our full report (outlook/market bias/ technical levels) emailed to you every day, click HERE or email Oliver@BlueLineFutures.com.


Soybeans (May)


Yesterdays Close: May soybean futures finished yesterdays session down 9 cents, trading in a range of 12 cents.


Fundamentals: Soybean selling continued on the lack of bullish headlines as optimism around trade diminishes despite efforts to put a positive spin on it. The market is exhausted with the constant spin on trade and has discredited optimistic headlines as they continue to overpromise and under deliver. One day there will be a deal done, but we continue to believe that China has some leverage going into the election cycle and that a deal is further down the line than people want. Export sales this morning came in at 403,200 metric tons, towards the low end of expectations.


Technicals: In yesterdays report we said that Lower highs have been marked, and lower lows could be on deck. This has....Get our full report (outlook/market bias/ technical levels) emailed to you every day, click HERE or email Oliver@BlueLineFutures.com.


Wheat (May)


Yesterdays Close: May wheat futures finished yesterdays session up 2 cents, trading in a range of 5 cents.


Fundamentals: Yesterdays session was the market catching its breath after rolling over hard in the previous session. As with the corn market, the funds seem to be locked in on their bearish thesis until the market is proven to be bullish. Export sales this morning came in at 545,500 metric tons, within the range of expectations.


Technicals: Yesterdays tight trading range keeps....Get our full report (outlook/market bias/ technical levels) emailed to you every day, click HERE or email Oliver@BlueLineFutures.com.


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Futures trading involves substantial risk of loss and may not be suitable for all investors. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.