DTN Midday Grain Comments 11/03 11:34

DTN Midday Grain Comments 11/03 11:34 Grains Higher at Midday Grain trade is slightly higher at midday with flat momentum. By David Fiala DTN Contributing Analyst General Comments The U.S. stock markets are higher with the Dow futures up 90 points. The interest rate products are lower. The U.S. dollar index is 40 points higher. Energies are higher with crude up $1.20. Livestock trade is mostly lower. Precious metals are lower with gold down $15. CORN Corn trade is 1 to 2 cents higher at midday after trading around a nickel higher after the day session opened. The upside momentum stalled after we recovered nearly all of Monday's losses. So this has been a turnaround Tuesday, but the upside momentum stalled. Currently, the December futures are just over 20 cents above the three-month low and below the three-month high. This middle ground appears to be our trading range for pre-report positioning over the next week until the USDA releases the November WASDE one week from now. The weekly progress report listed 85% of the crop harvested versus the 79% average and 62% a year ago. Based on forecasts, harvest should be around 92% next Monday. On the December chart, support is at the $3.72 October low with resistance at the $3.81 20-day moving average, and the 100-day at $3.89. SOYBEANS Soybean trade is 2 to 4 cents higher, meal is up $1 and bean oil is up 15 points. Position squaring ahead of the USDA report next Tuesday could keep trade slow and rangebound this week. There was light follow-through selling overnight, but after a bounce, has been firmer most of the morning. The weekly progress report listed soybeans 92% harvested, which was in line with expectations. There is no weather concern domestically any longer. The weekly export inspections were again large Monday coming in at 2.56 million tons, making October a stellar month. This should prevent the USDA from dropping the export number again, and market bulls could argue they should increase it. Overall the market should not be expecting much of a change from the 3.888 billion bushel USDA October production number. Private estimates could give the market direction if surprises are seen this week. On the January chart, support is at the $8.75 three-week low with major support down at the $8.57 contract low. First resistance is at the $8.86 1/2 50-day, then the $8.95 20-day. The daily high was at the 50-day Tuesday morning. WHEAT Wheat trade is around a nickel better at midday following a mixed overnight trade. This has been a turnaround Tuesday for wheat following the 11 to 15 cent lower finish Monday. The weekly export inspections Monday were only 170,993 tons; the slow export pace is an illustration of the large global supplies. The USDA could lower the 2015-16 export usage estimate next Tuesday. Crop progress listed 88% of the winter wheat planted versus the 90% average. Crop ratings improved as expected with good to excellent ratings up 2 percentage points at 49% good to excellent. That is still not a great rating, which should help limit downside on wheat near term. On the Kansas City December chart, resistance is at the 20-day moving average at $4.90. Support is at the $4.69 October low. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered trading adviser. David Fiala can be reached at dfiala@futuresone.com Follow David Fiala on Twitter @davidfiala (BAS) Copyright 2015 DTN/The Progressive Farmer. All rights reserved.