Live Cattle (Cash Index): Technically, the cash market remains in a major (long-term) uptrend as it closed July at $179.00. However, the cash market is looking top heavy as it consolidated within the wide June range. Monthly stochastics remain near overbought. Theoretical Positions: Traders would likely be long the market with a stop below the previous 4-month low of $163.00 (February 2023). Hedgers have likely continued to roll put options up and sell cash.
Feeder Cattle (Cash Index): The cash market extended its major uptrend to a high of $243.86 on the last day of July. The market remains sharply overbought, with monthly stochastics near 100%. Theoretical Positions: Traders are likely still long the market. As with live cattle, hedgers have likely continued to roll put options up and sell cash when the time comes.
Lean Hogs (Cash Index): The cash index extended its major uptrend to a high of $106.00 during July, its highest level since September 2022. Theoretical Positions: Traders might’ve gone long the market near $80.02 on the move to a new 4-month high, or at the May settlement of $80.08.
