CBOT corn may retest support at $3.66-1/4

• The support is identified as the 123.6pc projection level of a downward wave C from $3.91-3/4.
• Corn remains below a resistance at $3.69-3/4, the 14.6pc retracement on the downtrend from $4.73 to $3.52-1/4.

SINGAPORE: CBOT December corn may retest a support at $3.66-1/4 per bushel, a break below which could cause a fall to $3.64.

The support is identified as the 123.6pc projection level of a downward wave C from $3.91-3/4.

This wave looks incomplete. It is expected to fall into a range of $3.58-1/2 to $3.63-1/4.

A retracement analysis on the uptrend from $3.52-1/4 to $4.02-1/2 reveals a target at $3.64, the 76.4pc level, following a break below a support at $3.71-1/4.

Resistance is at $3.69-3/4, a break above which could lead to a gain to $3.71-1/4. Only a further rise could signal the completion of the wave C, and a bullish target zone of $3.74-$3.76 will be established then.

On the daily chart, corn remains below a resistance at $3.69-3/4, the 14.6pc retracement on the downtrend from $4.73 to $3.52-1/4. Chances are it may fall towards $3.60-1/2.