CBOT corn may stabilize around $3.80 per bushel

• The wedge has been confirmed as a bullish pattern, suggesting a target around $3.88.
• The support is identified as the 23.6pc projection level of an upward wave C from $3.75-1/4.

SINGAPORE: CBOT March corn may stabilize around a support at $3.80 per bushel, and test a resistance at $3.83-1/4, as suggested by a wedge and a projection analysis.

The support is identified as the 23.6pc projection level of an upward wave C from $3.75-1/4.

The wedge has been confirmed as a bullish pattern, suggesting a target around $3.88.

As long as corn remains above $3.80, it may rise towards this target.

A break below $3.80 could cause a fall into $3.76-1/2 to $3.78-1/4 range. On the daily chart, a hammer forming on Feb. 6 was followed by a white candlestick. Such a pattern suggests a completion of the downtrend from the Jan. 23 high of $3.94.