Friday's calm trading environment spilled over into Monday, as the markets traded in a light volume range bound direction to start the week off. Tuesday was a pivotal day in the Corn and Wheat futures markets as they started the morning weak by trading below Monday's low, setting the daily trend to the down side.

Bulls saw this as an opportunity to pick bottoms, causing both markets to lift higher mid- morning and rally into the afternoon, forming an outside day chart formation and settling the day on the higher end of their range, indicating a bullish chart formation. The buying spilled over into the following day, allowing Corn to trade at a new December contract high of 7.3350 per bushel as Wheat futures also traded at new monthly highs. During the rest of the week, bulls took profits causing prices to drift lower into Friday. As the week was coming to an end, bullish traders saw this as another opportunity to rally Corn and Wheat. During Friday afternoon, volume picked up as buyers kept buying dips and sellers offset on peaks.

Corn futures were able to form another outside day chat formation. Wheat followed in their substitute grains footsteps, rallying higher into the end of the week. Wheat futures were able to settle at the highest levels for the month and the highest close since mid June. Corn futures settled the week at an all time contract high of 7.2525. Corn prices have almost doubled since June of 2010. Starting August 22nd, Corn futures price limit has been lifted to $.40 per bushel, expandable to $.60 when the market closes at limit bid or limit offer. There shall be no price limits on the current month contract on or after the second business day proceeding the first day of the delivery month.

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