Wheat Market Recap: 14 September 2011
Dec Wheat finished + 2.50 at 704.50, 8.25 off the high and 6.50up from the low.
Mar Wheat closed + 1 at 738. This was 5 up from the low and 7.50 off the high.
A rise in the expiring September wheat contract and Short-covering helped support a higher close for Dec Wheat for the 1st time in 7 trading sessions.
Talk of the oversold condition of the market and a move higher in the September futures which expire at noon helped support a bounce in wheat off of the early lows.
Egypt bought 420,000 tons of Wheat in 2 separate tenders today with 240,000 tons from Russia for Nov shipment and a further 180,000 tons for Dec delivery.
Traders believe the rains in the forecast for the plains for today and into early next week were already priced on the current break and that the southern plains will turn dry again next week.
Paul A. Ebeling, Jnr.
Paul A. Ebeling, Jnr
Paul A. Ebeling, Jnr. writes and publishes The Red Roadmaster's Technical Report on the US Major Market Indices, a weekly, highly-regarded financial market letter, read by opinion makers, business leaders and organizations around the world.
Paul A. Ebeling, Jnr has studied the global financial and stock markets since 1984, following a successful business career that included investment banking, and market and business analysis. He is a specialist in equities/commodities, and an accomplished chart reader who advises technicians with regard to Major Indices Resistance/Support Levels.