DTN Midday Grain Comments 12/22 11:29

DTN Midday Grain Comments 12/22 11:29 All Grains Lower at Midday Trade is lower across the board at midday with light downside momentum. By David Fiala DTN Contributing Analyst General Comments The U.S. stock markets are higher with the Dow up 20 points. The interest rate products are lower. The dollar index is 28 points lower. Energies are mixed with crude up $0.65 and unleaded and ethanol down1 to 2 cents. Livestock trade is narrowly mixed mixed with no extreme moves today. Precious metals are lower with gold down $6. CORN Corn trade is 3 lower at midday and at the daily lows after trading around 2 higher in early day-session trade. Outside markets are mixed so it just looks like the trend is overriding our action here with an absence of fresh news. Futures closed below the 10-day and 20-day moving averages yesterday, and if they do finish lower today this may trigger additional chart selling. Ethanol margins remain under pressure but margins have been more stable lately. The thinner Holiday trade could trigger some surprises this week as we will only trade until noon on Thursday. On the March chart we have faded below the 20-day moving average at $3.74 yesterday which are nearly resistance now, then the 50-day at $3.78. Chart support is at $3.62 1/2 which is the fresh contract low printed on Friday. SOYBEANS Soybean trade is 1 to 2 lower at midday and near the daily lows. Meal is fractionally lower and bean oil down around 15 points. Overall action today is very light in the soy complex which the market notes as holiday trade. Corn appears to be pulling beans lower. January beans have only seen a 6 cent trading range through midday. Light commercial buying is around to limit downside and could still give us a higher close today. Persistence South American weather concerns are here to note, but not viewed as bullish at this juncture. Moisture may still materialize and some dryness be a non-issue. Trade will continue to follow updated forecasts closely as we move through the more thinly traded holidays here. January soybean chart support is at the 20-day moving average at $8.81, with resistance at the $8.99 100-day moving average. WHEAT Wheat trade is 1 to 3 cents lower across the three contracts at midday with some spillover weakness form corn and limited fresh news. The dollar has remained in the lower end of the past months' range which should help add support but most do not see that as bullish at this juncture. Russia is evaluating reducing export taxes. Big world and domestic supplies continue to limit bullish ideas. No major Northern Hemisphere weather issues are expected in the near term, but warm temps could lead to more winter kill vulnerability later for the U.S. and Russia, with the U.S. seeing more moisture this week. On the March Kansas City chart support is at the $4.63 3/4 contract low printed at the beginning of the month, with nearby resistance the lowest major moving average at $4.77 the 20-day moving average. 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.