Feeder Cattle Test Trendline Support. Will it Continue to Hold?
Feeder Cattle
Technicals (August): August feeder cattle bulled back to trendline support (see chart below), which was defended into the close. Futures finished the session right near the 50-day moving average, 171.00. Grains were firm yesterday which may have added a headwind to feeders. Grains are firm again this morning which may keep that headwind in place on the open. If the Bulls cannot defend support, a drop back to Monday's low, 169.40, wouldn't be out of the question. On the resistance side of things, the gap from Monday is still intact, though partially filled on Wednesday, 173.75-174.025.
Resistance: 173.75-174.025***, 176.45-177.075***, 178.225**, 181.65-182.10****
Support: 170.55 -171.00****, 169.40**, 167.325**
Futures trading involves substantial risk of loss and may not be suitable for all investors. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.
Technicals (August): August feeder cattle bulled back to trendline support (see chart below), which was defended into the close. Futures finished the session right near the 50-day moving average, 171.00. Grains were firm yesterday which may have added a headwind to feeders. Grains are firm again this morning which may keep that headwind in place on the open. If the Bulls cannot defend support, a drop back to Monday's low, 169.40, wouldn't be out of the question. On the resistance side of things, the gap from Monday is still intact, though partially filled on Wednesday, 173.75-174.025.
Resistance: 173.75-174.025***, 176.45-177.075***, 178.225**, 181.65-182.10****
Support: 170.55 -171.00****, 169.40**, 167.325**
Futures trading involves substantial risk of loss and may not be suitable for all investors. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.