Here's Where Corn Could Pop

feature-image

Play all audios:

Chris Ted | Photodisc | Getty Images CORN INVENTORIES came in at an alarmingly low rate in last week's release from the U.S. Department of AGRICULTURE. The January 11 report showed


inventories at 8.03 billion bushels, below the predicted 8.22 billion. This is significant, because expectations were already much lower than a year ago, when inventories were 9.65 billion


bushels. These numbers remain depressed due to the HISTORIC DROUGHT that occurred last summer. The 17 percent year-over-year decrease in inventories happens to coincide with a potential


global recovery, as news from China is trending better, and Europe is perceived to be emerging from its credit crises. The picture for corn suggest higher prices going forward, which is why


I have adopted a long bias. My opinion will grow stronger if the March contract trades above $7.35. Once it does, I will look for an upside target of $7.65. _READ ON FOR 10 THINGS YOU NEED


TO KNOW TO TRADE FUTURES_ _Watch "FUTURES NOW" Tuesdays & Thursdays 1p ET exclusively on FUTURESNOW.CNBC.COM!_ _Like us on Facebook! Facebook.com/CNBCFuturesNow_ _Follow us on


Twitter!@CNBCFuturesNow_