DOW JONES NEWSWIRES

DECEMBER CORN


  December corn posted a strong rally Friday. The technical picture is
improving and the bulls are setting up for a test of key near-term resistance
this week.

  The market settled just above the July 15 high at $3.49 1/4 on Friday. That
is the key support level to watch on Monday. If sustained gains can be achieved
above that level, it would suggest that a bottom is forming on the daily chart.

  The corn bulls' next upside price objective is to push prices above solid
technical resistance at $3.56 3/4 a bushel, which would fill on the upside a
downside price gap on the daily bar chart.

  The next downside price objective for the bears is to push and close prices
below solid technical support at the contract low of $3.14 3/4 a bushel.

  First resistance for December corn is seen at Friday's high of $3.50 and then
at $3.56 3/4. First support is seen at $3.40 and then $3.35.

   $7.07 
--- the contract high
   $3.32 3/4 --- 10-day moving average
   $3.34 3/4 --- 20-day moving average
   $3.77 3/4 --- 40-day moving average
   $3.14 3/4 --- the contract low

DECEMBER CBOT WHEAT


  December Chicago wheat posted a strong close Friday, ending the day at
session highs. Wheat bears still have the solid overall near-term technical
advantage. Prices have been trading sideways at lower levels for four weeks.

  The next downside price objective for the bears is pushing and closing prices
below major psychological support at $5.00. Bulls' next upside price objective
is to push and close December futures prices above solid technical resistance
at the July high of $5.79 1/2 a bushel.

  First resistance is seen at $5.60 and then at $5.79 1/2. First support lies
at $5.43 and then at last week's low of $5.33 1/2.

   $11.50 1/2 -- the contract high
   $5.51   
- 10-day moving average
   $5.52 1/4 --- 20-day moving average
   $5.82 3/4 --- 40-day moving average
   $4.91 
--- the contract low

DECEMBER KCBT WHEAT


  December KCBT wheat closed firmer Friday, at session highs. In recent weeks,
the market has been locked in a sideways neutral trading range.

  The bulls' next upside price objective is pushing prices above solid
technical resistance from the top of that sideways range at $5.92. The bears'
next downside objective is pushing and closing prices below solid technical
support at the range bottom at $5.58 1/4.

  First resistance is seen at $5.78 and then at $5.90. First support is seen at
$5.65 and then at $5.58 1/2.

   $11.35 
-- the contract high
   $5.72 1/2 --- 10-day moving average
   $5.72 3/4 --- 20-day moving average
   $6.06 3/4 --- 40-day moving average
   $5.49 1/2 --- the contract low