Walsh Pure Grain Technicals - Pure Hedge Division

Jonathan Wiedeman                                                                                                       11/6/2025 

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Daily ZSF6: 

January beans closed the day lower led by the soybean meal market.  Both markets have been on an impressive rally over the past two weeks.  The market is in overbought conditions and the first support on the daily charts I am using is the psychological $11 number. Followed by the 14-day moving average which comes in at 1090 ¼.  As far as resistance goes, I am using today’s high of 1133 ¼ followed by 1137. (see chart below) 

Weekly ZSF6:

Looking at the weekly charts for January beans we have resistance at 1137. For support I am using 1084 ¾ which is the 100-period moving average on the weekly charts. (see chart below).

Fundamentals:

Soybean meal was the leader to the downside with news from Argentina that the workers strike has ended. Soybeans have followed suit with the meal and now testing the $11 level.  South American beans are currently cheaper than the U.S and China also is lifting some of the tariffs on U.S. beans.  With the government shutdown now a record we still have lack of information to trade off of and more of a “headline” type of trade. The USDA has confirmed that the supply and demand report will be on November 14^th and this will be the first supply and demand report we have seen since middle of September.

Trade Ideas: 

N/A

Daily ZCZ5:

December corn has rallied over 30 cents since October 14^th and has tested the 200 day of 437. Currently that moving average comes in at 436 ¼ and trading above that opens a new window to test the 450 level in my opinion.  Current resistance on the daily charts comes in at 436 ¼ followed by 437.  For support I am using 426 followed by 424 ¾ which is the 21-day moving average. (see chart below).

Weekly ZCZ5:

Looking at the weekly charts for December corn we have resistance at 437 then 438 ¼ which is the 50-period moving average followed by 453 ½ which is the 100-period moving average. For support I am also using 426 like the daily charts and the 21-period moving average at 421 ¼. (see chart below).

Fundamentals: 

Corn has been on an impressive rally and testing the resistance of the 200-day moving average with record high ethanol production reported.  We have also shipped U.S. milo that is headed to China after the meetings that were held last week.  Export sales were not released this morning due to the government shutdown but private analysis estimated that 800-2 million tonnes would be exported.  Will keep an eye out for any new developments regarding tariffs as well as headlines that could affect the corn market.

Trade Ideas:

Long the December 410-450 call spread for 8½ cents. Place an order to buy back the short 450 calls for ½ cent. 

Daily ZWZ5:

December wheat has rallied over 50 cents off of a contract low of 492 ¼ to trading above 550.  With news that China has bought U.S. wheat which is the first time in over a year. The wheat market had a setback from the recent rally.  Support on the daily charts for December wheat comes in at 526 then followed by the 50-day moving average of 519.  Resistance on the daily charts is 555. (see chart below).

Weekly ZWZ5:

Looking at the weekly charts for December wheat we have support at 522 followed by 516 ¾.  For resistance we have 555 followed by the 50-period moving average of 571 ½. (see chart below).

Fundamentals:

China bought U.S. wheat for the first time in a year which sparked the market into relatively overbought conditions above the 550 level. The rally has brought a good amount of short covering with daily volumes being above average.  We will see if we can hold recent support listed above going into the weekend tomorrow.

Trade Ideas:

Long the 530 – 570 Dec call spread for 9 cents.  Place an order to cover the short 570 calls for ½ cent.

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Jon Wiedeman

Pure Hedge Division

Direct: 1 312 957 8108

jwiedeman@walshtrading.com

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