May soybeans remain in a consolidation just under the three highs from December, January, and February 13 right near 1545. Close in support is at 1511 1/2 and 1503 1/4, with 1554 3/4 and 1572 3/4 as next swing targets if the triple highs are taken out.

July soybean support comes in at 16.67 3/4 and 16.47 1/4, with 17.04 1/2 as near term resistance. A close through resistance would leave 17.63 1/2 as next upside target.

Improving weather conditions for South America, a bearish technical set up from recent technical reversals, and the overbought condition of the market leaves it vulnerable to additional long liquidation selling.

The report news was mostly neutral and with the bullish weather forecast, buyers could remain active.

While the market is extremely overbought, the continued steep uptrend in open interest suggests that fund traders are still aggressive buyers.

With the tightening world stocks situation and a significant weather threat for the next week, the market looks vulnerable to a further advance.

The dry weather in South America will likely be the driving force for a continued advance over the near term but 7-days straight leaves the market in an overbought status.