CME Soybeans hits 1 year low before recovering $20.5

The Soybeans future dropped to $1,167, hitting its lowest point in 1 year. It later recovered $20.5 and is now trading at $1,187.5.

United States's Initial Jobless Claims new data released of 261,000 below its previous figure.

Nevertheless, highly important Initial Jobless Claims data from United States beat analyst expectations of 235,000 with a reading of 261,000. United States Crude Oil Inventories published yesterday at 14:30 UTC came out at -451,000, falling short of the 1 million projections and continuing its decline from the previous 4.49 million figure.

At the same time, United States Cushing Crude Oil Inventories came out at 1.72 million, while a consensus of analysts was expecting 719,000.

As the trading day comes to an end, chart analysis indicates Soybeans broke through the $1,185.33 resistance, climbing $2.17 above it. Concerning technical analysis and more specifically, trend indicators, the Commodity Channel Index (CCI) indicator is below -100, meaning the market price is unusually low and below its rolling moving average. Technical analysis indicates that a new, strong downtrend could be forthcoming with short positions favored. Price action overcame a known Fibonacci resistance level at $1,178.75 by around $8.75 with prices hammering out a $1,167 – $1,190.5 session range. According to asset volatility analysis, the Soybeans future's lower Bollinger Band® is at $1,195.62, indicating that the market is oversold and fertile for new buyers.

All in all, the technical analysis suggests CME Soybeans has no clear-cut direction.

This rally in the Soybeans future's price coincides with other Grains as Oats increases 3.69% to trade around $365. Having closed the previous session at $15.24, Rough Rice is up 1.02% today to currently trade at around $15.4.

Other Grains are showing mixed performance as Corn trades with no major change, around $532.75.

CME Soybeans has shed 22.24% over the past three months.