Wheat Commentary

storck

Wheat – Just My Opinion

March Chgo Wheat closed 17 ½ cents higher ($8.18), May 18 ¼ cents higher ($8.22 ¼) & July 15 ½ cents higher ($8.07 ¾)

March KC Wheat closed 16 ½ cents higher ($8.34 ½), May 16 ¼ cents higher ($8.36 ¾) & July 13 ½ cents higher ($8.33 ½)

March Mpls Wheat closed 1 ¼ cents lower ($9.47 ¼), May unchanged ($9.44) & July 2 ½ cents higher ($9.38 ½)

The unknown around the Ukraine/Russia issue continues to push US wheat futures higher. The continued crappy conditions of the US central and southern Plains HRW lends support but the driving force is the situation that is developing in the Black Sea region.

March Chgo wheat flirts with what I call interim breakout levels but fails to follow through. I’ve been watching the $8.25 level. It seemed there was a void of selling when we eclipsed that level but profit taking came in and pushed prices back down below that level. March KC tapped at decent resistance when it challenged the $8.50 level and it too was turned away in the form of profit taking. From a technical perspective wheat prices are in line for some backing and filling but tell that to the geopolitical issues that are dominating.

Daily Support & Resistance – 01/26

March Chgo: $8.04 ($7.96) – $8.30

March KC: $8.22 (?) – $8.47

The risk of trading futures and options can be be substantial. Each investor must consider whether this is a suitable investment. Past performance is not indicative of future results.