Coming into this week, corn futures settled at their highest levels since the second week of January. Although corn was able to trade above Friday’s high, they hit resistance at the weekly high, pushing down into the negative side of the ledger for the day. Soybeans and wheat behaved in a similar fashion as they traded in a light volume range bound day.

When corn hit resistance on the weekly high, they formed a technical top which added pressure at the opening bell on Tuesday. Corn futures went south from the start and continued to sell off into the close of the day, and traded below the prior weekly low. Corn took most of the action and soybeans and wheat traded in a sideways choppy direction. After the big sell off, corn futures consolidated when they were unable to break Tuesday’s daily low. On a daily chart, corn formed an inside day, and closed at the same price they opened at, which is a bullish technical chart formation. Soybeans drifted lower on average volume while wheat was breaking lower on increased volume as sellers were breaking major technical support levels. When wheat hit monthly support prices, activity halted causing wheat to trade in a sideways direction. Wheat settled Wednesday at the lowest levels for the month of August.

On Thursday, traders started to buy from the opening bell. Corn posted an impressive rally by trading above prior two day’s highs and came back into the positive territory for the week. Soybeans followed corn after they hit a technical price 1000.00 a bushel. Soybeans also posted an impressive rally putting prices up for the week. After the selloff in wheat futures, traders waited on the sidelines as the overall direction of wheat was uncertain. Friday was set to be an active day as it was the last day of the week and last Friday for the month. Corn extended its rally from prior days and popped above all resistance levels allowing it to form an outside week chart formation. Corn futures traded below the prior week’s low and above the high. Even though corn had a turnaround from earlier in the week, corn was able to close up for the week, but marginally down by 1 tick from prior week’s settlement price. Soybean futures continued the rally from Thursday to finish the day and week on the positive side. Wheat futures continued to consolidate and trade range bound. After a volatile week in the wheat futures pit, they settled up for the day but down for the week and month.

To learn more from Pratik and the guys at The Futures Room, visit their site at TheFuturesRoom.com