LIVE CATTLE:   Dec

Dec cattle trade was choppy through mid session before seeing a late surge of buying come into the market.  The buying pushed the market up into yesterday's resistance level at $86.30.  This will again be critical resistance for today.  An open below this area allows a dip back to $85.77, and a break of $85.77 takes the market to $85.25.  Trade that opens above $86.30 or manages to push back through this area (assuming an open below) would then be supportive up to $86.80 followed with $87.37.  Closing above $87.10 would be bullish from a longer term stand point. 

Support: 85.77 & 85.25     Resistance: 86.30 & 86.80      Long Term Trend: Down below 86.62      Short Term Trend: Down below 87.10 

FEEDER CATTLE:   Jan

Jan feeders found support through most of the session, even with a higher trading corn market.  The market continues to flirt with close in resistance at $95.50.  An open above this area enables a bounce to next resistance of $96.35, in which a close above this area looks good longer term.  An open below $95.50 or a failure to close above $96.35 could then begin to turn the market back lower expecting $94.30. 

Support:  95.50 & 94.80     Resistance:  95.65 & 96.35     Long Term Trend: Down below 96.35     Short Term Trend: Up above 95.80  

CORN:   Dec

December corn rallied big going into the close as15% of the volume was done late in the session.  The bears tried pushing the market below daily support, but the bulls kept buying.  Once the market pushed back above the swing moving average it started to gain momentum. The strong close should now allow continuation to the daily resistance level at 392.  For today, I would look for the market to pull back somewhere close to the moving average cross (373-375), and if it holds look for another push higher.  If the market takes out the swing high (383.4) then expect continuation to daily resistance.  A failure to hold intraday support at 373-375 again allows a dip back to 364. 

Support: 377, 375 & 373      Resistance: 386, 389 & 392      Long Term Trend: Down below 389     Short Term Trend: Up above 373  

Hogs:  Dec

Dec hogs had a late session rally that took the market to fresh highs.  The market has seen a nice five day rally and could be due a correction in the near term.  In order to work higher today the market needs to hold above $57.45 on the opening, a failure to do this could lead to the start of the correction.  A breach of $57.45 takes the market back down to $56.75, but only a close below this area would signal that a larger correction is under way.  On the upside if $57.45 holds I expect the market to work it's way up to $59.15 over the course of the week. 

Support: 57.45 & 56.75      Resistance: 57.80 & 58.50      Long Term Trend: Up above 56.75      Short Term Trend: Up above 57.45

Brock Thompson Trading, 2525 Lakeview Dr. Amarillo, TX 79109, brock@brockthompsontrading.com (806)-350-2400

Make note that intra-day support and resistance prices change throughout the day, so if you have any questions during market hours please give me a call for an update.    

These forecasts are solely the opinion of the author and make no representation as to how the market will actually trade.  There is substantial risk of loss in trading futures and options; therefore you should carefully consider whether trading is appropriate for you in the light of your financial situation.