DTN Midday Grain Comments 11/26 11:22

DTN Midday Grain Comments 11/26 11:22 Grains Down at Midday Soybeans sharply lower at midday, corn weaker and wheat mixed. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are firmer with the Dow futures up 300. The interest rate products are firmer. The dollar index is 6 higher. Energies are mixed with crude up $1.50. Livestock trade is lower. Precious metals are flat with gold unchanged. CORN Corn trade is 2 to 3 cents lower at midday with trade scoring fresh lows with spillover from soybeans and a lack of buyers ahead of the December contract going into delivery. The ethanol blender margins are improved this morning with unleaded up a nickel and ethanol down a penny. Corn basis should firm a bit with the winter storm limiting movement. Trade is also now heavily oversold in the near term with positive close needed today to induce short covering which doesn't look to be in the cards at midday. Export inspection were good at 1.17 million metric tons. Weekly crop progress should show corn nearly complete. On the December chart we have support at the $3.55 fresh low. Resistance is at the $3.65 area where we find the 10-day and 50-day moving averages. SOYBEANS Soybean trade is 21 to 24 cents lower with the volatility expected ahead of the end of the week trade talks arriving. Meal is $4 to $5 lower and oil is 55 to 65 points lower. Export business has been better lately but nothing hit the daily wire today. South America continues to make good progress with limited weather concerns at this juncture with excessive rain the biggest problem in Brazil with early production estimates well above the old record. Weekly export inspections were OK at 1.105 million metric tons. Weekly crop progress will likely show harvest complete. January resistance is at the 100-day at 8.75 which we fell below overnight with further support at the lower Bollinger Band of $8.52. WHEAT Wheat trade is 1 to 4 cents higher at midday with Chicago trade continuing to lead action with support from the Russia/Ukraine naval incident and potential blockade. Kansas City wheat remains very oversold on the oscillators which should help provide support at these levels but we will need some positive action to confirm with Chicago not quite as oversold, and the Chicago/Kansas City spread still widening as it got to 42 cents this morning, which is the third-widest on record, with these levels not seen since 2007. The weekly export inspections were soft at 252,489 metric tons. The USDA confirmed 120,000 of srw sold to Egypt. On the December Kansas City chart we have support at the lows at $4.59, and resistance the 10-day at $4.76. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered adviser He can be reached at [email protected] Follow him on Twitter @davidfiala (BAS) Copyright 2018 DTN/The Progressive Farmer. All rights reserved.