SINGAPORE: CBOT corn may rise into a range of $6.90-1/4 to $6.91-3/4 per bushel, as it has broken a resistance at $6.86-1/4.
The break confirmed a continuation of the bounce from $6.74.
Driven by a wave c, the bounce may extend to $6.91-3/4. A retracement analysis on the fall from $7.06-1/2 reveals a similar target of $6.90-1/4.
Corn has also broken a falling trendline and completed a pullback.
It is unlikely to pull back towards the trendline again.
A fall below $6.83-1/2, however, could suggest the completion of the bounce.
A target zone of $6.78-1/2 to $6.81-1/2 will be established accordingly.
On the daily chart, corn is about to climb above a neutral range of $6.77-1/2 to $6.88 and rise towards $7.05.
It will be difficult to categorize the following rise, which could be a part of the correction from the Oct. 10 high of $7.06-1/2 or a continuation of the uptrend from $5.61-3/4.
CBOT corn may retest resistance at $6.76-1/4
The trend was labelled as a wave (B), which was thought to have peaked at $7.06-1/2.
Such a bearish wave count will remain valid until corn breaks above $7.05.
Comments
Comments are closed.