CBOT wheat may fall to $4.91-3/4

• The weak bounce failed to extend above a resistance at $5.02-1/4, the 150pc projection level on a downtrend from $5.61-1/2. The trend may have resumed.
• A break above $5.02-1/4 could lead to a gain to $5.06-3/4.

SINGAPORE: CBOT July wheat may fall to $4.91-3/4 per bushel, as it could have completed a bounce from the May 18 low of $4.93-3/4.

The weak bounce failed to extend above a resistance at $5.02-1/4, the 150pc projection level on a downtrend from $5.61-1/2. The trend may have resumed.

A break above $5.02-1/4 could lead to a gain to $5.06-3/4.

On the daily chart, the contract may retest a support at $4.94-1/4, the March 16 low, as it is riding on a wave C, which may travel to $4.86-1/4, the 161.8pc projection level of a downtrend from $5.61-1/2.

A falling channel suggests a further drop as well.