US - Prices hit another fresh contract high today and then backed off to close near the session low on profit taking, reports Jim Wyckoff, TheCattleSite analyst.
April live cattle closed down $0.12 at $144.40 Thursday, writes Mr Wyckoff.
However, Wednesday’s big upside price move is a near-term game-changer, as it suggests more upside price action in the near term. Fundamentally, cash cattle prices in the U.S. this week fetched record high levels of around $152.00.
Bulls have the solid overall near-term technical and fundamental advantage. Bulls’ next upside price “breakout” objective is to push and close prices above solid resistance at $147.50.
The next downside technical breakout objective for the bears is pushing and closing prices below solid technical support at this week’s low of $141.17.
First resistance is seen at $145.00 and then at today’s contract high of $145.97. First support is seen at $144.00 and then at $143.30. Wyckoff's Market Rating: 8.0
May feeder cattle closed down $0.55 at $173.95 Thursday. Prices closed near the session low and saw profit taking after hitting another fresh contract high early on today.
The feeder bulls still have the solid overall near-term technical advantage. The next upside price breakout objective for the feeder bulls is to push and close prices above solid technical resistance at $176.00.
The next downside price breakout objective for the bears is to push and close prices below solid technical support at this week’s low of $172.00.
First resistance is seen at $174.52 and then at today’s contract high of $174.90. First support is seen at $173.37 and then at $173.00. Wyckoff's Market Rating: 8.0
TheCattleSite News Desk
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