SINGAPORE: CBOT corn may retest a support at $6.77-1/4 per bushel, with a good chance of breaking below this level and falling towards the $6.67 to $6.72-3/4 range.
A short, falling trendline and a long, rising trendline are contracting to a point.
A strong move is expected to follow the current consolidation.
Corn is presumed to be riding on a wave (C) from $6.96-1/4, which could travel to a range of $6.58-1/4 to $6.72-3/4.
It is biased to fall below the rising trendline.
Corn dips after 2 days of gains, slow US harvest pace limits decline
A break above $6.87-1/4 could open the way towards the $6.90-1/2 to $6.96-1/4 range. On the daily chart, signals are a bit mixed, while corn is hovering around a resistance at $6.88.
The downtrend from $7.66-1/4 may have three legs.
The third leg, riding on a wave (C), could drive prices down to $5.61-3/4.
Until corn climbs above the short trendline resistance of $7.00, the bias would be towards the downside.
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