It is a pleasant surprise for the bulls to see all grains trending higher this morning with December corn opening .25 of a cent higher. Outside market forces are a bit negative however with a firm US dollar, weakness in gold, and China futures down 0.4%. However, China plans to auction 4.7 million tonnes of corn on October 26 and 27. The new contract low close on Friday is bearish technical development and leaves 338 as the next downside technical target for December corn. US exporter’s announced the sale of 120,000 tonnes of UD corn to Spain as well as 125,000 tonnes to unknown destination. The export news failed to help support as the sharp run-up in the US dollar and the slow export pace so far has helped to fuel bearish attitudes on corn. Today, I suggest traders look to get long pullbacks this week around the next area of support which this at 341.75 and below there at 340.25.
Dec ’17 Corn Daily Chart