July CBOT corn futures slipped to a modestly lower close on Wednesday, pressured by expectations that dry weather in much of the Corn Belt will allow farmers to progress with spring planting tasks. Only 3% of the U.S. corn crop was planted as of Sunday, behind the five-year average of 6%, according to the U.S. Department of Agriculture.

Technically, on the daily chart, the market traded within recent ranges. No new ground was broken higher or lower. In the very short term, the market remains on the defensive, following the April 9 bearish reversal day. That pattern continues to exert negative influence on the market. The near-term trend outlook is choppy and consolidative.

On the upside, the bulls would need to rally above initial resistance at the $5.13-17 area to improve the near-term outlook. A major bullish target remains at $5.24 1/4, the April 9 high.

On the downside, watch action around support at $4.99 3/4-$4.95 3/4 closely. If that were to give way, it would be a weak chart signal and would open the door to a downside correction.

The intermediate-term technical trend is bullish. The near-term trend is sideways to lower.

$6.76     -- the contract high 
   $5.07 1/4 -- the 10-day moving average 
   $5.01 1/4 -- the 20-day moving average 
   $4.90 1/2 -- the 40-day moving average 
   $4.21 3/4 -- the contract low 
 
JULY CBOT WHEAT, combined pit and electronic trading

July CBOT wheat fell to a sharply lower close Wednesday, pressured by weather forecasts for rain in parts of the southern Great Plains states this weekend. The U.S. winter-wheat crop has been challenged by dry soil conditions.

Action in the past several sessions has been volatile in July wheat, with wide-range-bar days. The selloff on Wednesday is a negative chart signal and marks the $7.18 1/4 intraday high as important nearby resistance. The market approached major resistance at $7.25 1/4 on Wednesday, before reversing to a lower close.

The intermediate-term trend pattern is bullish. But since scoring the $7.25 1/4 high on March 20, July wheat has been mired in a corrective phase. Wednesday's action suggests the bulls have failed to regain full control of the market.

In the near term, July wheat is in a large range between major resistance at $7.25 1/4-$7.18 1/4 and major support at the $6.63 3/4 low, hit on April 11.

Hourly momentum is near or at oversold levels, which could allow the market to stabilize above support at $6.90 3/4.

$8.57 3/4 -- the contract high 
   $6.83 3/4 -- the 10-day moving average 
   $6.92 1/4 -- the 20-day moving average 
   $6.70 3/4 -- the 40-day moving average 
   $5.57 1/4 -- the contract low 
 
JULY KC WHEAT, combined pit and electronic trading

July Kansas wheat fell to a lower close after two days of gains. The market is jittery. The $7.80-1/4 zone is nearby resistance and the level through which the bulls need to rally to regain control. Beyond there, a major bullish target lies at the $7.94-1/2 ceiling. On the downside, the April 11 low at $7.23 1/4 stands as major support. The near-term trend remains in corrective phase.

$8.67     -- the contract high 
   $7.45 1/2 -- the 10-day moving average 
   $7.58     -- the 20-day moving average 
   $7.33     -- the 40-day moving average 
   $5.99     -- the contract low