DTN Midday Grain Comments 11/14 11:37

DTN Midday Grain Comments 11/14 11:37 All Grains Lower at Midday A strong dollar and lower crude are providing outside market pressure on the grain trade at midday. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed with the Dow futures up 20 points and the S&P down 5. The interest rate products are lower. The dollar index is 107 points higher. Energies are lower with crude down 1.20. Livestock trade is mixed with hogs lower and cattle higher. Precious metals are lower with gold down $6. CORN Corn trade is 3 to 4 cents lower at midday and we have been down more than a nickel. Chart pressure and outside market pressure are the main items noted for our lower trade. The USDA WASDE last week provided bearish supply side items to keep fundamental buyers cautious here. Then the weekly export inspections were not great this morning at 618,155 tons. On Friday trade went to a new low for the move and settled below all major moving averages setting the stage for chart pressure today. As of midday the chart continues to look negative. On the December chart, the 50-day at $3.43 is the lowest major moving average which is now resistance then the 20-day at $3.49. Support is at the new low for the move printed this morning at $3.35 1/2 then the two month low at $3.25. SOYBEANS Soybean trade is 7 cents lower at midday, meal is fractionally higher and bean oil is off 65 points. Outside market and chart pressure are the main items to note for the lower trade but midday momentum is flat with beans a nickel or so off the morning lows. The weekly export inspections were huge at 2.785 million tons which has helped limit downside for beans. Fundamentally with the domestic carryover near 500 million bushels and limited expectations for lower acreage next year the supply side fundamentals remain bearish. Weather issues in South American are limited to bring in buyers. But we do have the South American growing season underway, so although market fundamentals are negative, we need to keep a watchful eye on weather as we look to December. On the January chart support is at the 50-day at $9.79, which we did trade below this morning, then the $9.72 lower Bollinger Band. WHEAT Wheat trade is mostly 6 to 9 cents lower at midday which has momentum down. Spillover pressure from the row crops and even more export pessimism due to the sharply higher dollar has the bears in control at midday. The weekly export inspections were poor setting the stage for pressure; they were only 191,062. There are some chances for moisture in the hard red winter wheat belt this week. The market is struggling to find supportive information to talk about with our huge supplies above to take a few production weather issues around the globe in our 2016-17 crop year. On the Kansas City December chart, we traded to a new low for the move down to $4.02 1/4 which is nearby support then $3.97. Resistance is at the $4.11 10-day, then the $4.15 20-day followed by the two-month high at $4.28 1/4. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered adviser. He can be reached at dfiala@futuresone.com Follow Fiala on Twitter @davidfiala (BAS) Copyright 2016 DTN/The Progressive Farmer. All rights reserved.