Hilker says there may be both upside and downside potential of risk, but you have pricing targets that you can set, knowing the chances of prices reaching certain levels. With the $5.38 midpoint of the probability range, set your price targets high enough to reach profitable pricing levels, but also set your sell stops above levels where downside risk is too great. Hilker says there is a good deal of market support below the $5.80 level, and strong resistance in the $6.60 range.
Old crop corn prices have fluctuated within a $1 range and new crop prices have floated in an 85¢ range, all driving by a variety of factors including South American weather, livestock feeding, ethanol production and other factors. Marketing will depend on the amount of risk that can be taken by the producer. Determine your risk that can be assumed, and set price targets within the probability range of corn prices.
Source: FarmGate blog