CBOT corn neutral in $3.58-3/4 to $3.63 range

SINGAPORE: CBOT Dec. corn looks neutral in a range of $3.58-3/4 to $3.63 per bushel, and an escape will point a direction.

The range is formed by the 61.8 percent and the 50 percent Fibonacci retracements on the uptrend from the July 6 low of $3.46 to the July 14 high of $3.80. A break above $3.63 could lead to a gain to $3.67, the 38.2 percent level.

However, the wave pattern suggests a downside bias, as the drop from $3.66, an hourly chart high touched on July 15, consists of three waves, with the third wave labelled c unfolding towards $3.54, the 76.4 percent level.

The target at $3.54 will be confirmed when corn breaks $3.58-3/4.