November Soybean Chart

Soybeans did break through chart support this morning and turned around closing at 14.08.

That was 16 cents off the daily low.

The chart still has a negative look and the technical is still pointed downward as well.

The market did bounce back and closed slightly higher and technical indicators are approaching the oversold level.

If we don’t get some bullish news and bounce back quickly, we do risk price working into those lows between 13.50-13.75.

November Soybean Chart

Soybeans had bullish news from the USDA crop report, bullish news about Russia/Ukraine war, but a lack of bullish news on Thursday through today has pushed prices back down towards uptrend support.

Very similar to our discussion with corn, the market needs to find support and get some bullish news or risk potentially coming down into these multiple lows between 13.56-13.76.

USDA Soybean Yield Estimate

Last year the USDA crop estimate from August to September went up from 50 to 50.6 and then to 51.5 in October.

This year USDA lowered the yield from 51.9 in August to 50.5 in September and there is some concern that we could reduce the yield further in October.

Last year an increasing crop gave us weaker prices as we headed towards harvest, this year a declining crop has prices increasing.

November Soybean Chart

Soybean prices also in an uptrend off the lows posted in July at 12.88.

Last week we posted new highs for the move at 15.08 touching the spike high we reached in early July.

This leaves overhead resistance at the 15.08 level and char support somewhere between 14-14.35.

Todays close at 14.61 is close to the middle of our recent range.

November Soybean Chart

Soybean prices exploded to the upside on bullish news from USDA yesterday and we saw follow through to the upside this morning.

Taking prices to 15.08 and nearly matching the spike highs from early July.

Unfortunately, prices did pull back and we closed lower on the day at 14.78, so we did close 30 cents off the daily high. A combination of harvest pressure and lower outside markets could give us a harvest break with chart support likely coming into play in the 14.10-14.25 range

September Soybean Chart

Soybean prices took out the highs posted earlier this month at 14.64, that keeps the uptrend intact.

The higher trend in beans combined with technical indicators tells us there is no sign of topping action.

The next level of overhead would be 14.89 and that’s about 25 cents above where we closed today.