December corn futures at the Chicago Board of Trade on Thursday slumped to a fresh two-week low of $3.78 as of this writing. Prices have backed well down from this week’s high of $4.22 and the bears have regained downside near-term technical momentum. December corn futures remain in a 4.5-month-old downtrend on the daily bar chart, as prices have declined over 50% from the late-June contract and all-time high of $7.99 1/4 a bushel.
Click on the chart to enlarge
The next downside price objective for the rejuvenated bears is to produce a close below strong technical support at the October low of $3.64, basis December corn futures. Below that lies chart support at the $3.50 level. Overhead chart resistance for December corn is located at Thursday’s high of $4.91 1/2 and then at $4.00. It would take a close above strong chart resistance at last week’s high of $4.33 to provide the bulls with fresh upside near-term technical momentum to suggest that a fresh uptrend in prices can be sustained.–Stay tuned!–Jim Wyckoff