What the Trade War Is Doing To Grains

The indiscriminate selling in the grain trade continues out of pure panic. The trade war with well advertised weeks ago, yet was ignored. Corn and wheat have production concerns growing around the world, even with 1/3 now of the Brazilian corn crop at risk to hot dry weather.

Corn should’ve held the 50% correction of the winter rally near 466 but continued on to the 200 -Day MA on the continuation chart near 450 which should’ve held with a bit of slippage. Instead, it continues to work lower. If it doesn’t halt now, it could go to the 78% retrace near 435. At the moment, price seems to be irrelevant as the panic continues. But emotionally a low should come in today or tomorrow that will reflect an early March grain price low.