July corn futures signal bullish momentum amid supply concerns

July corn futures have shown a choppy but upward trend in recent trading sessions. Analysts now see a potential buying opportunity if prices continue to strengthen. The market's near-term direction appears to favour a sideways or higher movement. In July 2023, corn prices fell compared to the previous year. The drop came as global supply improved, with favourable weather in major producers like the US and Brazil. Reduced demand from China also played a role in the decline.

Despite last year's dip, current demand for corn remains steady both globally and domestically. However, concerns over fertiliser shortages and high costs could lead to fewer planted acres in the US this season.

Technically, July corn futures (ZCN26) have support at $4.50. A push above $4.70 would signal renewed bullish momentum, creating a fresh buying opportunity. If the upward trend holds, the next price target sits at $5.15 or higher. The corn market's short-term outlook leans towards sideways or rising prices. With solid demand and technical factors favouring bulls, traders are watching for a break above $4.70. Fertiliser challenges, though, may limit US planting and influence future supply.