SINGAPORE: CBOT corn may break a support at $6.84-3/4 per bushel and fall into a range of $6.71-1/2 to $6.79-1/2, following its two failures to break a resistance at $6.98.
The failures simply made it impossible to revisit the high of $7.06-1/4.
With corn having fallen close to the lower channel line, it is highly likely to escape from the channel and drop to $6.71-1/2.
A more bearish indication from the failures is a possible reversal of the uptrend from $5.61-3/4, which has completed its five waves.
Immediate resistance is at $6.88-3/4, a break above which could lead to a gain into $6.92-3/4 to $6.98 range.
CBOT corn may rise into $7.06-1/4 to $7.11-1/4 range
On the daily chart, the contract observes two sets of retracements, on the falls respectively from $7.66-1/4 and from $7.49-1/4.
Corn not only failed to break $7.05, but also slid below the support at $6.88.
Chances are it may drop more into $6.64 to $6.77-1/2 range.
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