Live Cattle (Nearby futures): Despite consolidation during September, the market still looks to be in a major (long-term) downtrend. The downtrend began with the bearish key reversal during May 2026. The December issue closed September at $222.70, up $10.025 (4.7%) for the month. Theoretical Positions: Investors long the market (futures, ETFs, etc.) based on continued bullish real fundamentals could’ve liquidated those positions and gone short near the May settlement of $239.00.
Feeder Cattle (Nearby futures): The November issue consolidated during September before closing at 334.30, up $17.275 (5.45%) for the month. Theoretical Positions: Investors might’ve gone short futures near the May settlement of $348.425 based on the monthly bearish outside range.
Lean Hogs (Nearby futures): While the market looks to have broken down during September, much of this is due to the roll from October to December futures on the continuous monthly chart with the spread at $9.30. This was in line with the previous 5-year average weekly close for the last week of September of $9.825. Theoretical Positions: Long-term investors are likely on the sidelines, waiting for a clear buy signal. Monthly stochastics have moved below the oversold level of 20%.
