KEY EVENTS TO WATCH FOR:
Wednesday, October 3, 2018
7:00 AM ET. MBA Weekly Mortgage Applications Survey
Composite Idx (previous 352.5)
Composite Idx, W/W% (previous +2.9%)
Purchase Idx-SA (previous 240.4)
Purchase Idx-SA, W/W% (previous +2.6%)
Refinance Idx (previous 946.8)
Refinance Idx, W/W% (previous +3.2%)
8:15 AM ET. September ADP National Employment Report
Private Sector Jobs, Net Chg (expected +185000; previous +163000)
9:45 AM ET. September US Services PMI
PMI, Services (previous 54.8)
10:00 AM ET. September Online Help Wanted Index
10:00 AM ET. August Metropolitan Area Employment & Unemployment
10:00 AM ET. IMF World Economic Outlook analytical chapters published
10:00 AM ET. September ISM Non-Manufacturing Report on Business
Non-Mfg Composite Idx (expected 58.0; previous 58.5)
Non-Mfg Business Idx (previous 60.7)
Prices Idx (previous 62.8)
Employment Idx (previous 56.7)
New Orders Idx (previous 60.4)
10:30 AM ET. EIA Weekly Petroleum Status Report
Crude Oil Stocks (Bbl) (previous 395.989M)
Crude Oil Stocks, Net Chg (Bbl) (previous +1.852M)
Gasoline Stocks (Bbl) (previous 235.68M)
Gasoline Stocks, Net Chg (Bbl) (previous +1.53M)
Distillate Stocks (Bbl) (previous 137.881M)
Distillate Stocks, Net Chg (Bbl) (previous -2.241M)
Refinery Usage (previous 90.4%)
Total Prod Supplied (Bbl/day) (previous 19.999M)
Total Prod Supplied, Net Chg (Bbl/day) (previous -1.135M)
11:00 AM ET. September Global Services PMI
PMI, Services (previous 53.5)
Thursday, October 4, 2018
7:30 AM ET. September Challenger Job-Cut Report
Job Cuts, M/M% (previous +41.8%)
8:30 AM ET. U.S. Weekly Export Sales
Corn (Metric Tons) (previous 1703.2K)
Soybeans (Metric Tons) (previous 872.2K)
Wheat (Metric Tons) (previous 657.1K)
8:30 AM ET. Unemployment Insurance Weekly Claims Report - Initial Claims
Jobless Claims (expected 215K; previous 214K)
Jobless Claims, Net Chg (previous +12K)
Continuing Claims (previous 1661000)
Continuing Claims, Net Chg (previous +16K)
9:45 AM ET. Bloomberg Consumer Comfort Index
10:00 AM ET. August Manufacturers' Shipments, Inventories & Orders (M3)
Total Orders, M/M% (expected +2.4%; previous -0.8%)
Orders, Ex-Defense, M/M% (previous -0.4%)
Orders, Ex-Transport, M/M% (previous +0.2%)
Durable Goods, M/M% (previous -1.7%)
Durable Goods, M/M%
10:30 AM ET. EIA Weekly Natural Gas Storage Report
Working Gas In Storage (Cbf) (previous 2768B)
Working Gas In Storage, Net Chg (Cbf) (previous +46B)
2:00 PM ET. SEC Closed Meeting
4:30 PM ET. Federal Discount Window Borrowings
4:30 PM ET. Money Stock Measures
4:30 PM ET. Foreign Central Bank Holdings
Friday, October 5, 2018
8:30 AM ET. September U.S. Employment Report
Non-Farm Payrolls (expected +185K; previous +201K)
Unemployment Rate (expected 3.8%; previous 3.9%)
Avg Hourly Earnings (USD) (previous 27.16)
Avg Hourly Earnings-Net Chg (USD) (previous +0.10)
Avg Hourly Earnings, M/M% (expected +0.3%; previous +0.37%)
Avg Hourly Earnings, Y/Y% (previous +2.9%)
Overall Workweek (previous 34.5)
Overall Workweek Net Chg (previous +0)
Government Payrolls (previous -3K)
Private Payroll (previous +204K)
Participation Rate (previous 62.7%)
Non-Farm Payrolls Bench Net Chg
8:30 AM ET. August U.S. International Trade in Goods & Services
Trade Balance (USD) (expected -53.5B; previous -50.08B)
Exports (USD) (previous 211.08B)
Exports, M/M% (previous -1.0%)
Imports (USD) (previous 261.16B)
Imports, M/M% (previous +0.9%)
3:00 PM ET. August Consumer Credit
Consumer Credit Net Chg (USD) (expected +14.8B; previous +16.64B)
The STOCK INDEXES? http://quotes.ino.com/ex?changes/?c=indexes ""
The December NASDAQ 100 closed lower on Tuesday as it consolidates some of its recent gains. The mid-range close sets the stage for a steady opening when Wednesday's night session begins trading. Stochastics and the RSI are turning neutral to bearish signaling that a short-term top might be in or is near. Closes below the 50-day moving average crossing at 7510.71 would confirm that a short-term top has been posted. If December extends the rally off April's low, upside targets will be hard to project with the index trading in uncharted territory. First resistance is Monday's high crossing at 7728.75. Second resistance is unknown. First support is the reaction crossing at 7420.50. Second support is the reaction low crossing at 7343.25.
The December S&P 500 closed slightly higher on Tuesday. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If December resumes this summer's rally into uncharted territory, upside targets will be hard to project. Closes below the 20-day moving average low crossing at 2910.46 are needed to confirm that a short-term top has been posted. First resistance is the reaction high crossing at 2945.50. Second resistance is unknown. First support is the 20-day moving average crossing at 2910.46. Second support is the 50-day moving average crossing at 2878.52.
The Dow closed higher on Tuesday and into record territory as it renews this year's rally. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI have turned neutral to bullish signaling that sideways to higher prices are possible near-term. If the Dow extends the rally off April's low into uncharted territory, upside targets will be hard to project. Closes below the 20-day moving average crossing at 26,294.35 would confirm that a short-term top has been posted. First resistance is today's high crossing at 26,824.78. Second resistance is unknown. First support is the 20-day moving average crossing at 26,294.35. Second support is the 50-day moving average crossing at 25,873.53.
INTEREST RATES? http://quotes.ino.com/ex?changes/?c=interest ""
December T-bonds closed up 18/32's at 140-17.
December T-bonds closed higher on Tuesday. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are turning neutral to bearish signaling that sideways to lower prices are possible near-term. If December resumes the decline off August's high, May's low crossing at 138-28 is the next downside target. Closes above the 20-day moving average crossing at 141-09 would confirm that a short-term low has been posted. First resistance is last-Friday's high crossing at 141-04. Second resistance is the 20-day moving average crossing at 141-09. First support is last-Tuesday's low crossing at 139-17. Second support is May's low crossing at 138-28.
December T-notes closed up 50-points at 118-265.
December T-notes closed higher on Tuesday. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are neutral to bullish signaling that a short-term low might be in or is near. Closes above the 20-day moving average crossing at 119.023 would confirm that a short-term low has been posted and would open the door for a larger-degree corrective rally off September's low. If December resumes the decline off August's high, May's low crossing at 118.000 is the next downside target. First resistance is the 20-day moving average crossing at 119.023. Second resistance is the 50-day moving average crossing at 119.162. First support is last-Tuesday's low crossing at 118.110. Second support is May's low crossing at 118.000.
ENERGY MARKETS? http://quotes.ino.com/ex?changes/?c=energy ""
November crude oil closed lower on Tuesday as it consolidates some of its recent gains. The low-range close sets the stage for a steady to lower opening when Wednesday's night session begins. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If November extends the rally off August's low, the 75% retracement level of the 2014-2016-decline crossing at 77.22 is the next upside target. Closes below the 20-day moving average crossing at 70.53 would confirm that a short-term top has been posted. First resistance is today's high crossing at 75.91. Second resistance isthe 75% retracement level of the 2014-2016-decline crossing at 77.22.First support is the 10-day moving average crossing at 72.46. Second support is the 20-day moving average crossing at 70.53.
November heating oil posted an inside day with a lower close on Tuesday as it consolidates some of the rally off August's low. The low-range close sets the stage for a steady to lower opening when Wednesday's night trading session begins. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If November extends the rally off August's low, the November-2014 high crossing at 254.68 is the next upside target. Closes below the 20-day moving average crossing at 227.05 would confirm that a short-term top has been posted. First resistance is Monday's high crossing at 241.76. Second resistance is the November-2014 high crossing at 254.68. First support is the 10-day moving average crossing at 231.06. Second support is the 20-day moving average crossing at 227.05.
November unleaded gas posted an inside day with a lower close on Tuesday as it consolidates some of the rally off August's low. The low-range close sets the stage for a steady to lower opening when Wednesday's night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If November extends the rally off August's low, monthly resistance crossing at 217.77 is the next upside target. Closes below the 20-day moving average crossing at 201.45 would confirm that a short-term top has been posted. First resistance is Monday's high crossing at 213.84. Second resistance is monthly resistance crossing at 217.77. First support is the 10-day moving average crossing at 205.76. Second support is the 20-day moving average crossing at 201.45.
November Henry natural gas closed higher on Tuesday as it extends the rally off September's low. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If November extends the aforementioned rally, the September-2015 high crossing at 3.215 is the next upside target. Closes below the 20-day moving average crossing at 2.913 would confirm that a short-term top has been posted. First resistance is today's high crossing at 3.194. Second resistance is the September-2015 high crossing at 3.215. First support is the 10-day moving average crossing at 3.020. Second support is the 20-day moving average crossing at 2.913.
CURRENCIES? http://quotes.ino.com/ex?changes/?c=currencies ""
The December Dollar closed higher on Tuesday as it extends the rally off last-Friday's low. The mid-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If December extends the rally off last-Friday's low, August's high crossing at 96.45 is the next upside target. Closes below September's low crossing at 93.93 would renew the decline off August's high. First resistance is today's high crossing at 95.39. Second resistance is August's high crossing at 96.45. First support is July's low crossing at 93.04. Second support is the 38% retracement level of the February-August-rally crossing at 92.92.
The December Euro closed lower on Tuesday as it extends the decline off Monday's high. The mid-range close sets the stage for a steady opening when Wednesday's night session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If December extends the decline off September's high, August's low crossing at 114.09 is the next downside target. Closes above the 10-day moving average crossing at 117.57 would temper the near-term bearish outlook. If December resumes the rally off August's low, July's high crossing at 119.36 is the next upside target. First resistance is September's high crossing at 118.93. Second resistance is July's high crossing at 119.36. First support is September's low crossing at 116.13. Second support is August's low crossing at 114.09.
The December British Pound closed lower on Tuesday and below the 50-day moving average crossing at 1.3047 confirming that a short-term top has been posted. The low-range close sets the stage for a steady to lower opening when Wednesday's night session begins trading. Stochastics and the RSI are neutral to bearish signaling that a short-term top might be in or is near. Closes above the 10-day moving average crossing at 1.3157 would temper the near-term bearish outlook. First resistance is September's high crossing at 1.3350. Second resistance is July's high crossing at 1.3435. First support is September's low crossing at 1.2845. Second support is August's low crossing at 1.2735.
The December Swiss Franc closed slightly lower on Tuesday as it extends the decline off September's high. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. The mid-range close sets the stage for a steady to lower opening when Wednesday's night session begins trading. If December extends the decline off September's high, the August 21st gap crossing at 1.0185 is the next downside target. Closes above the 20-day moving average crossing at 1.0395 would confirm that a short-term low has been posted. First resistance is September's high crossing at 1.0559. Second resistance is the 50% retracement level of the February-July-decline crossing at 1.0605. First support is the August 21st gap crossing at 1.0185. Second support is August's low crossing at 1.0132.
The December Canadian Dollar posted an inside day with a lower close on Tuesday as it consolidates some of the rally off last-Thursday's low. The mid-range close sets the stage for a steady opening when Wednesday's night session begins trading. Stochastics and the RSI are overbought, diverging but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If December extends the rally off September's low, the 50% retracement level of the 2017-2018 decline crossing at 78.72 is the next upside target. Closes below the 50-day moving average crossing at 76.90 would confirm that a short-term top has been posted. First resistance is Monday's high crossing at 78.36. Second resistance is the 50% retracement level of the 2017-2018 decline crossing at 78.72. First support is last-Thursday's low crossing at 76.56. Second support is September's low crossing at 75.75.
The December Japanese Yen closed higher due to short covering on Tuesday as it consolidates some of the decline off August's high. The high-range close sets the stage for a steady to higher opening when Wednesday’s night session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If December extends the decline off August's high, the 87% retracement level of the 2015-2016 rally crossing at 0.0876 is the next downside target. Closes above the 20-day moving average crossing at 0.0896 would temper the near-term bearish outlook. First resistance is the 10-day moving average crossing at 0.0890. Second resistance is the 20-day moving average crossing at 0.0896. First support is Monday's low crossing at 0.0881. Second support is the 87% retracement level of the 2015-2016 rally crossing at 0.0876.
PRECIOUS METALS? http://quotes.ino.com/ex?changes/?c=metals ""
October gold closed sharply higher on Tuesday. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher are possible near-term. Closes above the 50-day moving average crossing at 1203.50 would signal that a short-term low has been posted. Closes above the reaction high crossing at 1215.70 are needed to renew the rally off August's low. If October resumes last-Thursday's decline, August's low crossing at 1162.70 is the next downside target. First resistance is the reaction high crossing at 1215.70. Second resistance is the reaction high crossing at 1239.80. First support is last-Friday's low crossing at 1180.00. Second support is August's low crossing at 1162.70.
December silver closed higher on Tuesday as it extends the rally off September's low. The mid-range close set the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 50-day moving average crossing at 14.799 would confirm that a short-term top has been posted while opening the door for additional gains near-term. If December resumes the decline off June's high, the December-2015 low on the weekly continuation chart crossing at 13.620 is the next downside target. First resistance is the 50-day moving average crossing at 14.799. Second resistance is the reaction high crossing at 15.070. First support is September's low crossing at 13.965. Second support is the December-2015 low on the weekly continuation chart crossing at 13.620.
December copper closed higher on Tuesday. The mid-range close sets the stage for a steady opening when Wednesday's night session begins trading. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. Closes below the 20-day moving average crossing at 272.27 would confirm that a short-term top has been posted. If December renews the rally off August's low, the reaction high crossing at 288.85 is the next upside target. First resistance is the reaction high crossing at 288.85. Second resistance is the July-5th gap crossing at 293.10. First support is the 20-day moving average crossing at 272.27. Second support is August's low crossing at 257.45.
GRAINS? http://quotes.ino.com/ex?changes/?c=grains "
December Corn closed up 1 3/4-cents at 3.67 1/2.
December corn closed higher on Tuesday as it extends the rally off September's low. The high-range close sets the stage for a steady to higher opening when Wednesday's night sessions begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above September's high crossing at 3.69 3/4 would confirm that the intermediate trend has turned sideways to higher. Closes below last-Friday's low crossing at 3.54 1/2 would temper the near-term friendly outlook. First resistance is the 50-day moving average crossing at 3.67 1/2. Second resistance is September's high crossing at 3.69 3/4. First support is last-Friday's low crossing at 3.54 1/2. Second support is September's low crossing at 3.42 1/2.
December wheat closed up 10 3/4-cent at 5.20 1/4.
December wheat finally caught fire and closed significantly higher on Tuesday signaling a likely end to the correction off last-Monday's high. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. If December resumes the rebound off September's low, the 50-day moving average crossing at 5.41 1/2 is the next upside target. If December extends the decline off September's high, September's low crossing at 4.95 1/4 is the next downside target. First resistance is the reaction crossing at 5.32 3/4. Second resistance is the 50-day moving average crossing at 5.41 1/2. First support is September's low crossing at 4.95 1/4. Second support is July's low crossing at 4.90.
December Kansas City Wheat closed up 11-cent at 5.22 1/2.
December Kansas City wheat closed higher on Tuesday. The high-range close sets the stage for a steady to higher opening on Wednesday. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. If December resumes the rally off September's low, the 50-day moving average crossing at 5.49 1/4 is the next upside target. If December extends the decline off September's high, September's low crossing at 4.98 3/4 is the next downside target. First resistance is the reaction high crossing at 5.35 3/4. Second resistance is the 50-day moving average crossing at 5.49 1/4. First support is September's low crossing at 4.98 3/4. Second support is July's low crossing at 4.93 3/4.
December Minneapolis wheat closed up 14 1/4-cents at 5.91 1/2.
December Minneapolis wheat closed sharply higher on Tuesday and renewed the rally off September's low.The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. Closes below Monday's low crossing at 5.72 would confirm that a short-term top has been posted. If December extends the rally off September's low, the 50-day moving average crossing at 5.97 1/4 is the next upside target. First resistance is the 50-day moving average crossing at 5.97 1/4. Second resistance is the reaction high crossing at 6.02. First support is Monday's low crossing at 5.72. Second support is September's low crossing at 5.60 1/4.
SOYBEAN COMPLEX? http://quotes.ino.com/ex?changes/?c=grains "
November soybeans closed up 9 1/4-cents at 8.67.
November soybeans closed higher on Tuesday above the 50-day moving average crossing at 8.62 3/4 confirming that a short-term low has been posted. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If November extends the rally off September's low, the reaction high crossing at 907. If November renews this summer's decline, September's low crossing at 8.12 1/4 is the next downside target. First resistance is today's high crossing at 8.67 1/4. Second resistance is the reaction high crossing at 9.07. First support is September's low crossing at 8.12 1/4. Second support is monthly support crossing at 8.10 1/2.
December soybean meal closed up $1.30 at 315.10.
December soybean meal closed higher on Tuesday. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 50-day moving average crossing at 320.40 are needed to confirm that a low has been posted. If December resumes the decline off July's high, the 87% retracement level of the 2016-2018-rally crossing at 289.50 is the next downside target. First resistance is the 50-day moving average crossing at 320.40. Second resistance is the reaction high crossing at 339.40. First support is September's low crossing at 301.60. Second support is the 87% retracement level of the 2016-2018-rally crossing at 289.50.
December soybean oil closed up 36 pts. at 29.67.
December soybean oil closed higher on Tuesday as it extends the rally off September's low. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. If December extends the rally off September's low, the 38% retracement level of the 2017-2018 decline crossing at 30.53 is the next upside target. Closes below the 20-day moving average crossing at 28.35 would confirm that a short-term top has been posted. First resistance is today's high crossing at 29.69. Second resistance is the the 38% retracement level of the 2017-2018 decline crossing at 30.53. First support is the 20-day moving average crossing at 28.35. Second support is September's low crossing at 27.13.
LIVESTOCKhttp://quotes.ino.com/exchanges/?c=livestock
October hogs closed up $1.68 at $66.43.
October hogs closed higher on Tuesday as it extends the rally off August's low. The high-range close sets the stage for a steady to higher opening when Wednesday's session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If October extends the rally off August low, the 87% retracement level of the February-August-decline crossing at 68.41 is the next upside target. Closes below the 20-day moving average crossing at 58.90 would confirm that a short-term top has been posted. First resistance is today's high crossing at 66.75. Second resistance is the 87% retracement level of the February-August-decline crossing at 68.41. First support is the 10-day moving average crossing at 62.18. Second support is the 20-day moving average crossing at 58.90.
October cattle closed up $0.30 at 113.98.
October cattle closed higher on Tuesday. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If October extends the rally off August's low, the 87% retracement level of the February-May-decline crossing at 115.24 is the next upside target. Closes below the 20-day moving average crossing at 115.24 would confirm that a short-term top has been posted. First resistance is Monday's high crossing at 114.35. Second resistance is the 87% retracement level of the February-May-decline crossing at 115.24. First support is the 20-day moving average crossing at 112.07. Second support is the 50-day moving average crossing at 110.62.
October Feeder cattle closed up $0.43 at $159.08.
October Feeder cattle closed higher on Tuesday. The high-range close sets the stage for a steady to higher opening when Wednesday's session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If October resumes the rally off August's low, weekly resistance crossing at 160.48 is the next upside target. Closes below the 20-day moving average crossing at 156.28 would confirm that a short-term top has been posted. First resistance is September's high crossing at 159.90. Second resistance is weekly resistance crossing at 160.48. First support is the 20-day moving average crossing at 156.28. Second support is the 50-day moving average crossing at 156.28.
FOOD & FIBERhttp://quotes.ino.com/ex changes/?c=food
December coffee closed sharply higher on Tuesday and above the 50-day moving average crossing at 10.48 confirming that a low has been posted. The high-range close sets the stage for a steady to higher opening on Wednesday. The high-range close sets the stage for a steady to higher opening when Wednesday's night session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Closes below the 10-day moving average crossing at 10.00 would confirm that a short-term top has been posted.
December cocoa closed higher on Tuesday as it consolidates the decline off August's high. The low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are oversold, diverging but are turning neutral to bullish signaling that a low is in or near. Closes above the 20-day moving average crossing at 22.10 would confirm that a short-term low has been posted. If September extends the decline off August's high, the December-2017 low crossing at 18.71 is the next downside target.
March sugar closed sharply higher on Tuesday as it extended the rally off September's low. The high-range close set the stage for a steady to higher opening on Wednesday. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends the aforementioned rally, September's high crossing at 12.55 is the next upside target. If March renews the decline off September's high, the June-2008 low on the weekly continuation chart crossing at 9.44 is the next downside target.
December cotton closed lower on Tuesday as it extends the decline off June's high. The mid-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If December extends decline off July's high, the 62% retracement level of the 2016-2018 rally crossing at 74.00 is the next downside target. Closes above the 20-day moving average crossing at 79.83 are needed to confirm that a short-term low has been posted.