Cattle

Quite a move  yesterday in  Live cattle .Here is a 5 minute chart of the action  as it was sitting near lows and then sky rocketed up to touch limit.This occurred over last 30 minutes of trade.

lc day

Some talk of   higher trade in the spot market,This proved to be false as  the Action was steady to lower in Spot.Box beef values continue to print sideways to lower.So what was reason?I think Over sold conditions at an Important support area  caused buyers to step in and than a good ole fashioned squeeze into the close.Cattle markets are very irrational more so then most markets.There is a sense in the cattle markets  that someone knows something more than I do  so If market moving violently one way  I better join in.

Here  is daily chart of LCV  I believe a bottom has been found.This more so than anything else was cause for run up in prices.

lc

Price action broke through the lows  and then closed up near highs,leaving the support area of 105.25 in tact.This will stay that way until a close below this  level negates the double bottom pattern.Problem with cattle is similar to Corn and Wheat  just too much of it!

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.