DTN Midday Grain Comments 04/15 11:08

DTN Midday Grain Comments 04/15 11:08 Grains Higher at Midday Trade is higher across the board at midday with corn at some new highs for the move. By David Fiala DTN Contributing Analyst General Comments U.S. stock market indices are mixed with the DOW futures down 5 points. Interest rate products are lower. The dollar index is 20 points lower. Energies are lower with crude down 1.15. Livestock trade is mostly higher. Precious metals are mixed with gold up $5. CORN Corn futures are 3 to 4 cents higher at midday with light upside chart momentum due to a move above $3.75 picking up buy stops and some fresh chart buying. Short-covering this afternoon could give us some exicting trade as we finish up the week. Planting progress should continue to expand in the near term with much-needed rains slowing some of the west down over the weekend and into next week, plus now we are entering the second half of April. South American weather looks to continue along the recent pattern with double-crop areas in Brazil remaining on the dry side. Ethanol margins are under pressure with crude setting back and dragging unleaded lower this morning. The USDA announced 344,200 metric tons of corn sold to unknown. On the chart we will call $3.75 nearby support, then the $3.70 3/4 100-day followed by the 20-day at $3.64. The $3.78 1/4 3-month high was taken out briefly but we are right at it here at midday. The 200-day at $3.87 the next upside chart item to note. SOYBEANS Soybean futures are 6 to 7 cents higher at midday with trade erasing the losses from Thursday. The strength is noted due to wet weather concerns in Argentina that have been lingering. Meal is $4.50 to $5.50 higher and oil is 20 to 30 points lower. Brazilian political issues will continue to loom, while harvest wraps up. Shipping delays will have to be watched as well, but there are no major concerns at the moment. Basis has softened with increased farmer movement on the rally. USDA announced 132,000 metric tons of new crop sold to China. On the May soybean chart, the 10-day at $9.26 then the 20-day at 9.17 are support. The $9.58 1/4 high put in this morning in nearby resistance. WHEAT Wheat futures are flat to 3 cents higher across the three contracts at midday in quiet trade following the lead of the row crops this morning. Forecasts for much better rain over the next 7 days especially in soutwest Kansas and Oklahoma will limit upside, with crops badly needing a drink. However the storms could bring damaging hail and excessive rain in some spots. The dollar has moved back lower overnight. Russian wheat is in good shape coming into the growing season. On the May KC chart the 10-day moving average at $4.57 is resistance which we are testing this morning with the new $4.42 1/4 contract low notable support. 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 2016 DTN/The Progressive Farmer. All rights reserved.