rounded corner
rounded corner
top border

Livestock Report


Bookmark and Share

The December Lean Hogs contract gap opened higher trading above resistance at 69.80 and making the high at 70.325 for the session. It collapsed and traded down nearly closing the gap from yesterdays 68.625 high making the low at 68.75. It bounced off the low and settled at 69.475. If price and hold settlement a re-test of Wednesdays high is possible. Resistance then comes in at 71.325 -71.85. A failure from settlement could see price close the gap and consolidate within the Tuesday range. The Lean Hog index rose and is at 59.59 as of 10/7/2019. The Pork Cutout Index continued its climb and is at 16.03 as of 10/8/2019.

December Live Cattle opened higher then traded down to the low of the day at 110.45. It reversed course and then broke out above the 110.80 resistance level trading up to 112.20 for the session high. It stopped just below the 112.35 resistance level and then fell back and settled at 111.175. It formed an outside day candle with a small body. A failure from settlement could see price break support at 110.80 and break down to test support at the rising 13 DMA at 110.02. A failure from here could then move towards support at 108.65. If settlement holds, a retest of the high is possible. The cash market was at a standstill. Boxed beef cutouts were mixed with choice cutouts up 1.00 to 214.60 and select down 0.94 to 186.12 on light to moderate demand and heavy offerings. The choice/ select spread widened to 28.48 and the load count was 171. Slaughter was 117,000.

November Feeder Cattle opened above the 8 and 13 DMAs, made the low at 141.55 then exploded higher, nearly trading up limit on the session. It made the high at 145.575 and pulled back settling at 144.25. Settlement is right at the key level 144.25 and should key trade for Thursday. If settlement holds, a retest of the high is likely. Resistance then comes in at 146.20 and then 147.30. A failure from settlement could see price test support at 143.50 and then 142.40. Support is bolstered in this area as the 200 DMA is at 142.46. Support then comes in at 138.95. The Feeder Cattle Index inched higher and is at 144.45 as of October 8th.

For those interested I hold a weekly grain (with Sean Lusk) and livestock webinar on Thursday, October 10that 3:00 pm. It is free for anyone who wants to sign up and the link for sign up is below. If you cannot attend live a recording will be sent to your email upon completion of the webinar.

Sign Up Now

**Call me for a free consultation for a marketing plan regarding your livestock needs.**

Ben DiCostanzo

Senior Market Strategist

Walsh Trading, Inc.

Direct: 312.957.4163

888.391.7894

Fax: 312.256.0109,

bdicostanzo@walshtrading.com

www.walshtrading.com

RISK DISCLOSURE: THERE IS A SUBSTANTIAL RISK OF LOSS IN FUTURES AND OPTIONS TRADING. THIS REPORT IS A SOLICITATION FOR ENTERING A DERIVATIVES TRANSACTION AND ALL TRANSACTIONS INCLUDE A SUBSTANTIAL RISK OF LOSS.THE USE OF A STOP-LOSS ORDER MAY NOT NECESSARILY LIMIT YOUR LOSS TO THE INTENDED AMOUNT. WHILE CURRENT EVENTS, MARKET ANNOUNCEMENTS AND SEASONAL FACTORS ARE TYPICALLY BUILT INTO FUTURES PRICES, A MOVEMENT IN THE CASH MARKET WOULD NOT NECESSARILY MOVE IN TANDEM WITH THE RELATED FUTURES AND OPTIONS CONTRACTS.



Recent articles from this author



About the author


Ben DiCostanzo
Senior Market Strategist
Walsh Trading

I began my career in the Securities industry working as a runner on the floor of the New York Stock Exchange while I attended Pace University. I then started working for Salomon Brothers in their Government Bond Trading arena. After graduating from Pace University with a degree in Accounting, I transferred to Chicago and became a member of the Chicago Mercantile Exchange utilizing my experience to execute trades and manage risk for institutional clients as a broker for Salomon Brothers on the trading floor. I then embarked to trade for my own account in the stock indices pits as a local before moving off the floor to aid and assist individual clients in their trading endeavors. I now work at Walsh Trading holding a series 3 broker’s license whose duties include being the firm’s Chief Market technician.

I understand that every client's needs are different, and I pride myself in tailoring my service to each client's unique circumstances and needs. Individual client experience, risk tolerance, and capital all play a role in how I approach the markets. I am involved in all markets using technical analysis to find opportunities. My approach is driven by the principles of capital preservation.

My trading philosophy is that if you can recognize and manage the risk, you have a better chance to be successful in trading. I advise clients to always use stops as money management in my opinion is the most important ingredient in trading commodities.

Published by Barchart
Home  •  Charts & Quotes  •  Commentary  •  Authors  •  Education  •  Broker Search  •  Trading Tools  •  Help  •  Contact  •  Advertise With Us  •  Commodities
Markets: Currencies  •   Energies  •   Financials  •   Grains  •   Indices  •   Meats  •   Metals  •   Softs

The information contained on InsideFutures.com is believed to be accurate but is not guaranteed. Market data is furnished on an exchange delayed basis by Barchart.com. Data transmission or omissions shall not be made the basis for any claim, demand or cause for action. No information on the site, nor any opinion expressed, constitutes a solicitation of the purchase or sale of any futures or options contracts. InsideFutures.com is not a broker, nor does it have an affiliation with any broker.


Copyright ©2005-2019 InsideFutures.com, a Barchart.com product. All rights reserved.

About Us  •   Sitemap  •   Terms of Use  •   Privacy Policy