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Live Cattle Continue to Consolidate Friday’s Slaughter is estimated at 124,000. 5,000 more than last week and 11,000 more than the same week last year. Friday’s Cutout Values Choice: 269.24, Up 1.47 from the previous day. Select: 242.25, Up 1.44from the previous day. Choice/Select Spread: 26.99 5 Area Average Cattle Price Live Steer: 139.07 Live Heifer: 137.73 Dressed Steer: 225.42 Dressed Heifer: 225.34 Live Cattle CoT Update: Friday’s Commitments of Traders report showed Managed Money were net buyers of 17,841 futures/options through July 26th. This expands their net long position to 37,505. Technicals (October): For the week, October live cattle were down .775, trimming the gains for the month to 3.45. Despite the lower price action last week, the 100-day moving average was able to hold, that comes in at 141.86. A break and close below here could take us to the 50 and 200 day moving average, 140.225-140.90. Within this pocket is trendline support from the June lows. Our short-term bias is pretty neutral, but a pullback to this support pocket would likely have us looking to lean more on the bullish side. Resistance: 145.10-145.975****, 147.35-147.50** Pivot: 141.80-141.90 Support: 139.975-140.675**, 138.025-138.35**** 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.
CME:LE1!
by OliverSloup_BlueLine
Is Cattle Due for a Pullback? Tuesday’s Slaughter is estimated at 125,000. Unchanged from last week, but 6,000 more than the same week last year. Tuesday’s Cutout Values Choice: 269.11, Up 1.00 from the previous day. Select: 243.88, Down 1.12 from the previous day. Choice/Select Spread: 25.23 5 Area Average Cattle Price Live Steer: 141.00 Live Heifer: N/A Dressed Steer: N/A Dressed Heifer: N/A Live Cattle Technicals (October): October live cattle futures gave back some ground yesterday after failing to get out above technical resistance. The market pulled back, but it wasn’t enough to do any technical damage. A break and close below our pivot pocket from 141.80-141.90 may be the inflection point which may cause more damage if it cannot hold. Below that pocket, there isn’t a lot of meaningful support until you get closer to trendline support, the 50 and 200 day moving average. All of these come in from about 140-141. We wouldn’t be surprised to see the market retest these levels in the near term. Resistance: 145.10-145.975****, 147.35-147.50** Pivot: 141.80-141.90 Support: 139.975-140.675**, 138.025-138.35**** 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.
CME:LEV2022
by OliverSloup_BlueLine
Are Cattle Futures Set for a Bigger Breakout? Friday's Slaughter is estimated at 119,000. 1,000 less than last week, but 7,000 more than the same week last year. Friday's Cutout Values Choice: 267.12, Down .64 from the previous day. Select: 242.50, Up 1.97 from the previous day. Choice/Select Spread: 24.62 5 Area Average Cattle Price Live Steer: 140.65 Live Heifer: 138.50 Dressed Steer: 227.51 Dressed Heifer: 226.76 Cattle on Feed Snapshot Cattle on Feed 100% VS Estimates 99.8% Placed: 98% VS Estimates 94.3% Marketed: 102% VS Estimates 102% Live Cattle Commitments of Traders Update: Friday’s Commitments of Traders report showed Managed Money were net buyers of 1,585 contracts through July 19th. Majority of this was short covering. This puts their net position at 19,665 contracts. This is a historically small position. We would consider a net long of 40k as relatively neutral positioning. Technicals (October): Live cattle futures finally got a nice move higher on Friday, will that be sustained in today’s trade? TBD. The market is testing the highs from June 9th and June 21st. A close above here could open the door for an extension into April 25th gap, 145.10-145.975. The Bulls will want to defend 141.80-141.90. Resistance: 145.10-145.975****, 147.35-147.50** Pivot: 141.80-141.90 Support: 139.975-140.675**, 138.025-138.35**** 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.
CME:LE1!
by OliverSloup_BlueLine
Cattle Consolidate Ahead of USDA Report Wednesday’s Slaughter is estimated at 124,000. 2,000 less than last week, but 6,000 more than the same week last year. Wednesday’s Cutout Values Choice: 270.53, Down 2.04 from the previous day. Select: 242.25, Down 1.48 from the previous day. Choice/Select Spread: 28.28 5 Area Average Cattle Price Live Steer:136.59 Live Heifer: 136.56 Dressed Steer: 227.60 Dressed Heifer: 228.00 Cattle on Feed Estimates (Report out tomorrow after the close) On-Feed: 99.8% Placed: 94.3% Marketings: 102% Live Cattle Technicals (August): The technical landscape remains unchanged as the market continues to consolidate and linger near the 100 and 200 day moving averages (135.60 and 135.70). The August contract is starting to run against the shot clock so we will start covering the October contract starting next week. Resistance: 137.95-138.75***, 140.275**, 141.625-141.825**** Pivot: 135.575-135.725 Support: 134.20**, 132.775-133.30***, 129.975-130.725**** 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.
CME:LE1!
by OliverSloup_BlueLine
Is a bigger move on the horizon? Monday’s Slaughter is estimated at 125,000. Unchanged from last week, but 9,000 more than the same week last year. Monday’s Cutout Values Choice: 270.55, Up 1.64 from the previous day. Select: 242.66, Up .87 from the previous day. Choice/Select Spread: 27.89 5 Area Average Cattle Price Live Steer:142.12 Live Heifer: 139.98 Dressed Steer: 229.48 Dressed Heifer: 229.62 Live Cattle Technicals (August): August live cattle futures came out of the gate strong to start the week but gave back some of those early games by the afternoon session. Though the price action was again disappointing as it continues to test the patience of the Bulls, there was no technical damage done. We remain optimistic and believe that a run into the April 25th gap is still possible, but we are starting to run against the shot clock and wouldn’t recommend holding your breath for that move. Resistance: 137.95-138.75***, 140.275**, 141.625-141.825**** Pivot: 135.575-135.725 Support: 134.20**, 132.775-133.30***, 129.975-130.725**** 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.
CME:LE1!
by OliverSloup_BlueLine
BREAKOUT WATCHLive cattle futures are on the verge of a technical breakout, something that we've been rooting for for some time now. The cash market remains firm, and the charts are getting more constructive. 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.
CME:LEZ2022Long
by OliverSloup_BlueLine
Will Live Cattle Ever Fill the GapFriday’s Slaughter is estimated at 125,000. 4,000 more than last week, and 4,000 more than the same week last year. Friday’s Cutout Values Choice: 267.89, Down .18 from the previous day. Select: 241.85, Down .73 from the previous day. Choice/Select Spread: 26.04 5 Area Average Cattle Price Live Steer:144.37 Live Heifer: 141.69 Dressed Steer: 232.30 Dressed Heifer: 232.23 Live Cattle Commitments of Traders Update: Friday’s Commitments of Traders report showed Managed Money were net sellers of 9,968 futures/options, through July 5th. The Bulk of this was new short positions, 7,162. This shrinks their net long position to 14,297. Technicals: For the week ending July 8th, August live cattle were down .65. The market continues to chop around in the middle of the range over the last two months. Recently, major moving averages have been a roadblock for the Bull camp. Today, those come in at 135.425 (200 day moving average) and 135.95 (100 day moving average). We remain stubbornly optimistic that we can work back out above these levels and potentially make another run at filling the April 25th gap. Resistance: 135.40-136.05***, 137.95-138.75***, 140.275** Pivot: 134.40 Support: 132.45-132.775***, 129.975-130.725**** 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.
CME:LEQ2022
by OliverSloup_BlueLine
Lean Hogs Act as a Flight to Safety? Lean Hogs Technicals (August): It was a risk-off day in nearly every commodity yesterday, with the exception of lean hogs. Lean hog futures were able to rally up near the 50-day moving average which we’ve listed as first resistance. That finished yesterday’s session at 106.90. Just above that is trendline resistance from the March 31st high, that comes in near 107.50. If the Bulls can find enough follow-through today to chew through that resistance pocket, we could see an extension towards 110. Resistance: 106.90-107.50****, 110.075-110.225***, 111.30*** Pivot: 103.00-103.95 Support: 101.30-101.60**, 98.00-98.65**** 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.
CME:HEQ2022
by OliverSloup_BlueLine
Are Feeder Cattle Setting Up for a Bigger Directional Move?Feeder Cattle Technicals (August): Feeder cattle made an attempt to breakout yesterday but fell flat, despite the bloodbath in the grain complex. As mentioned in recent reports, the inability to take out recent highs with the collapse in grains should be a caution flag for the Bulls. That’s not to say we can’t rally from here, but the recent price action has been dismal. Perhaps feeders were pricing in a breakdown in corn prices for a while now, that’s the first thought that comes to mind. Nonetheless, the market is consolidating and looks ready for a bigger directional move once support or resistance gives way. Resistance: 175.35-175.65****, 176.80-177.075*** Pivot: 171.45 -172.40 Support: 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.
CME:GFQ2022
by OliverSloup_BlueLine
Live Cattle Continue to Disappoint Tuesday’s Slaughter is estimated at 126,000. Unchanged from last week, and 6,000 more than the same week last year. Tuesday’s Cutout Values Choice: 264.66, Up .84 from the previous day. Select: 239.87 Down .60 from the previous day. Choice/Select Spread: 24.79 5 Area Average Cattle Price Live Steer: N/A Live Heifer: N/A Dressed Steer: N/A Dressed Heifer: N/A Live Cattle Technicals (August): Live cattle finished last week with a strong rally, setting the table for continuation to start this week’s trade. As the cattle market has gone recently, that optimism faded quickly in yesterday’s trade as prices retreated and erased nearly all of Friday’s gains. With the market chopping around, many of the technical support and resistance pockets remain unchanged from yesterday’s report. 135.25-135.75 is the first barrier that the Bulls want to overcome to encourage a bigger and more meaningful rally attempt. Resistance: 135.25-135.75***, 136.20**, 137.95-138.75***, 140.275** Pivot: 134.70 Support: 132.45-132.775***, 129.975-130.725**** 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.
CME:LEQ2022
by OliverSloup_BlueLine
Feeder Cattle Rally on Weaker Corn MarketsFeeder Cattle Technicals (August): Feeder cattle were able to catch a rally yesterday, thanks in part to the corn market collapsing following a “neutral” USDA report. Though it was nice to see a rally, the recent price action relative to the sharp decline in corn has been less than impressive. Not that it has to be a 1:1 correlation, but we would have expected to be a little closer to the 180 neighborhoods. Stiff resistance comes in from 175.35-175.65. This pocket represents the 100 and 200 day moving average, along with what was previously (recently) trendline support. A conviction close above this pocket may be what the Bulls need to work back towards the upper end of the recent range. Resistance: 175.35-175.65****, 176.80-177.075*** Pivot: 171.45 -172.40 Support: 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.
CME:GFQ2022
by OliverSloup_BlueLine
Will Cattle Futures Rally to Meet the Cash Market? Thursday’s Slaughter is estimated at 124,000. 2,000 more than last week, and 7,000 more than the same week last year. Thursday’s Cutout Values Choice: 264.00, Down .88 from the previous day. Select: 240.57 Down .24 from the previous day. Choice/Select Spread: 23.43 5 Area Average Cattle Price Live Steer: 145.85 Live Heifer: 143.55 Dressed Steer: 234.01 Dressed Heifer: 233.98 Live Cattle Technicals (August): August live cattle made new lows for the move in yesterday’s session but were able to recover and finish the last trading day of the month/quarter/half in positive territory. With the cash market remaining firm, some of the pressure may be attributed to technical selling and end of the month/quarter positioning. We remain optimistic that live cattle will be able to work back towards some of those key moving averages, north of 135.00. Resistance: 134.85-135.25 ***, 135.975-136.60**, 138.75**, 140.275** Pivot: 132.45-132.775 Support: 129.975-130.725**** 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.
CME:LEQ2022
by OliverSloup_BlueLine
Feeder Cattle Threaten a Technical Breakdown Feeder Cattle Technicals (August): August feeder cattle futures broke below trendline support yesterday, which took prices into our 4-star support pocket, 171.45-172.40. All else held equal, this is a MUST HOLD pocket for the Bulls, a break and close below could open the door for a drop into the mid-160’s. We say “all else held equal” because tomorrow’s USDA report may have a big impact on price action that could negate short term technical. Resistance: 175.50-176.125**, 176.80-177.075*** Pivot: 173.75-174.02 Support: 171.45 -172.40****, 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.
CME:GFQ2022
by OliverSloup_BlueLine
Can Cattle Avoid the Death Cross? Tuesday’s Slaughter is estimated at 126,000. Unchanged from last week and 5,000 more than the same week last year. Tuesday’s Cutout Values Choice: 267.14, Down 1.54 from the previous day. Select: 243.31, Down 1.93 from the previous day. Choice/Select Spread: 23.44 5 Area Average Cattle Price Live Steer: 137.00 Live Heifer: 147.20 Dressed Steer: N/A Dressed Heifer: N/A Live Cattle Technicals (August): August live cattle were lower on the session, closing at the lowest price since May 31st. Yesterday’s close was right in our first support pocket, 132.45-132.775. IF the Bulls fail to defend this pocket on a closing basis, we cannot rule out a further breakdown and retest of the May 31st low, 129.975. Though we remain optimistic, yesterday’s down day is just another notch on the belt for a market that hasn’t been able to get anything going for some time now. Th Resistance: 134.85-135.25 ***, 135.975-136.60**, 138.75**, 140.275** Support: 132.45-132.775**, 129.975-130.725**** 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.
CME:LEQ2022
by OliverSloup_BlueLine
Feeder Cattle Futures Are Coiling Feeder Cattle Technicals (August): August feeder cattle were technically sound yesterday, trading nearly perfectly against our technical support and resistance pockets, only to finish the session near our pivot pocket. Those technical pockets remain in play today as the market continues to coil, marking higher lows and lower highs. This type of consolidation typically leads to a bigger directional move. Trendline resistance, the 100 and 200 day moving average are the big barrier on the resistance side of things, that pocket comes in from 175.50-176.125. On the support side, it’s trendline support from the May 20th lows. Resistance: 175.50-176.125**, 176.80-177.075*** Pivot: 173.75-174.02 Support: 171.45 -172.40****, 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.
CME:GFQ2022
by OliverSloup_BlueLine
A Death Cross in Live Cattle? Mondays Slaughter is estimated at 125,000. 1,000 more than last week and 6,000 more than the same week last year. Monday's Cutout Values Choice: 268.68, Up 3.70 from the previous day. Select: 245.24, Up .22 from the previous day. Choice/Select Spread: 23.44 5 Area Average Cattle Price Live Steer: 144.55 Live Heifer: 141.88 Dressed Steer: 235.22 Dressed Heifer: 237.17 Live Cattle Techncials (August): August live cattle futures broke lower yesterday, taking out the low end of support by .10 but then rebounding into the close. The rebound is encouraging for the Bull camp, but they must defend yesterday’s low on a closing basis to prevent a further decline to 129.975-130.725. On the resistance side of things, our pocket from 134.85-135.25 is the first hurdle for the Bulls to get out above. This pocket represents the 50 and 200 day moving average. Unfortunately, that 50-day moving average is crossing below the 200-day moving average. In technical analysis world, this would be considered a “death cross”. I’m sure you guessed by its label that is is perceived to be bearish. We don’t put much weight into it, but it should be a caution flag for the Bulls. Resistance: 134.85-135.25 ***, 135.975-136.60**, 138.75**, 140.275** Support: 132.45-132.775**, 129.975-130.725**** 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.
CME:LEQ2022
by OliverSloup_BlueLine
Live Cattle Retreat. Will Support Hold?Live Cattle Technicals (August): August live cattle were under pressure all day yesterday, trading down to the low end of our first support pocket, 134.85-135.35. Yesterday’s low was 134.85. If the Bulls cannot defend this pocket through today’s session, it may open the door for another leg lower, with the next support pocket coming in near 132.45-132.775. On the support side of things, the Bulls want to get back out above yesterday’s high and the 100-day moving average, 135.975 and 136.60. Resistance: 137.90-137.95**, 138.75**, 140.275** Pivot: 135.975-136.60 Support: 134.85-135.35***, 132.45-132.775**, 129.975-130.725**** 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.
CME:LEQ2022
by OliverSloup_BlueLine
Can Feeder Cattle Rebound with Lower Corn Prices? Feeder Cattle Technicals (August): Feeder cattle futures failed against our resistance pocket from 175.50-176.125 which put them in reverse. August feeders filled the illusive gap, which was a gap lower on June 13th but a gap higher on June 21st. Yesterday’s failure to get out above technical resistance was somewhat of a caution flag as it did mark lower highs, but no significant damage was done to the chart. Trendline support and the 50-day moving average remain intact, that comes in from 171.45 (50 dma)- 172.40 (trendline support from the May 23rd lows. Resistance: 175.50-176.125**, 176.80-177.075*** Pivot: 173.75-174.02 Support: 171.45 -172.40****, 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.
CME:GFQ2022
by OliverSloup_BlueLine
Feeders Find Strength Feeder Cattle Technicals (August): Feeder cattle gaped higher which was to be expected with the weaker grain trade. That gap is largely intact with today’s trade, except now it will act as support and not resistance. With that said, the fell flat against our resistant pocket above the old gap, we’ve had that defined as 175.50-176.125. This pocket represents previously important price points, along with the 100 and 200 day moving average. If corn futures are able to stabilize for the rest of the week as we head into options expiration, we could see the market consolidate back towards trendline support and the 50-day moving average. Resistance: 175.50-176.125**, 176.80-177.075*** Pivot: 173.75-174.02 Support: 170.975 -171.65****, 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.
CME:GFQ2022
by OliverSloup_BlueLine
Live Cattle Consolidate Tuesday’s Slaughter is estimated at 126,000. 4,000 more than last week and 4,000 more than the same week last year. Tuesday’s Cutout Values Choice: 267.56, Up 1.06 from the previous day. Select: 246.70, Up .31 from the previous day. Choice/Select Spread: 20.86 5 Area Average Cattle Price Live Steer: N/A Live Heifer: N/A Dressed Steer: N/A Dressed Heifer: N/A Live Cattle Technicals (August): It was more of the same for live cattle, trading on both sides of the 100-day moving average for the fourth consecutive session. If the Bulls can chew through resistance from 137.90-137.95, we could (finally) see an extension into the April 25th gap, 138.75-140.275. On the support side of things, 134.85-135.40 is the pocket the Bulls need to defend. This pocket represents previously important price points, along with the 50 and 200 day moving average. A break and close below that pocket would be a dagger in the heart for the Bull camp as it could spur a retracement back to the 132 area. Resistance: 137.90-137.95**, 138.75**, 140.275** Pivot: 136.60 Support: 134.85-135.35***, 132.45-132.775**, 129.975-130.725**** 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.
CME:LEQ2022
by OliverSloup_BlueLine
Are Cattle Futures on the Verge of a Bigger Rally? Friday’s Slaughter is estimated at 124,000. Unchanged from last week, but 6,000 more than the same week last year. Friday’s Cutout Values Choice: 266.26, Down .90 from the previous day. Select: 246.53, Up 1.15 from the previous day. Choice/Select Spread: 19.73 5 Area Average Cattle Price Live Steer: 143.73 Live Heifer: 142.94 Dressed Steer: 229.73 Dressed Heifer: 229.95 Live Cattle Commitments of Traders Update: Friday’s CoT report showed Managed Money were net buyers of 10,576 futures/options through June 14th. Much of which was short covering (12,733 contracts). This expands their net long position to 31,926. Broken down, that is 76,596 longs VS 44,670 shorts. This is still a relatively neutral breakdown for the funds, which continues to favor the Bulls. Technicals (August): August live cattle were choppy to round out last week’s trade, finishing the session right near unchanged, which is also in line with the 100-day moving average, 136.62. Outside markets are firm this morning which may help provide a tailwind to the market. If the Bulls can chew through resistance from 137.90-137.95, we could (finally) see an extension into the April 25th gap, 138.75-140.275. On the support side of things, 134.85-135.35 is the pocket the Bulls need to defend. Resistance: 137.90-137.95**, 138.75**, 140.275** Pivot: 136.60 Support: 134.85-135.35***, 132.45-132.775**, 129.975-130.725**** 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.
CME:LEQ2022
by OliverSloup_BlueLine
A Tailwind for Feeder CattleFeeder Cattle Commitments of Traders Update: Friday’s CoT report showed Managed Money were net buyers of 1,354 futures/options through June 14th. This shrinks their net short position to 3,553. Broken down that is 10,436 longs VS 13,989 shorts. Technicals (August): August feeder cattle futures were able to defend trend line support on Friday, the third time in five sessions that it was tested and held. That comes in at 171.65 today. On the resistance side of things, the gap from June 13th was partially filled last week, but remains open up to 174.025. Grain markets are sharply lower this morning which may act as a headwind for feeder cattle on the open. Resistance: 173.75-174.02***, 175.50-176.125**, 176.80-177.075*** Support: 170.975 -171.65****, 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.
CME:GFQ2022
by OliverSloup_BlueLine
Live Cattle Shrug Off Outside Market WeaknessThursday's Slaughter is estimated at 126,000. Unchanged from last week, but 5,000 more than the same week last year. Thursday's Cutout Values Choice: 267.16, Down 1.06 from the previous day. Select 245.38, Down .30 from the previous day. Choice/Select Spread: 21.78 5 Area Average Cattle Price Live Steer: 144.10 Live Heifer: 143.22 Dressed Steer: 229.47 Dressed Heifer: 229.78 Outside Markets as of 6:15 AM Dow Jones +195 points, Up .65% S&P 500 +33 points, Up .89% U.S. Dollar +.665, Up .63% Live Cattle Technicals (August): August live cattle were down on the session, but they were resilient in brushing off the carnage that was taking place in the equity markets. Most of our bias this week has been, cattle will go will equities go. The fact cattle were able to hold ground indicates to us that there is good underlying strength in the market as high temperatures and a stout cash market have kept a floor in the market this week. Resistance: 137.90-137.95**, 138.75**, 140.275** Pivot: 136.60 Support: 134.85-135.35***, 132.45-132.775**, 129.975-130.725**** 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.
CME:LEQ2022
by OliverSloup_BlueLine