CBOT corn may rise to $3.91-1/4

• The resistance is identified as the 61.8pc projection level of an upward wave C from $3.75-1/4.
• The current wave C-3 may follow the projection levels when it unfolds towards $3.96-1/4.

SINGAPORE: CBOT March corn may break a resistance at $3.88 per bushel and rise to $3.91-1/4, driven by a wave C-3.

The resistance is identified as the 61.8pc projection level of an upward wave C from $3.75-1/4.

This wave has a complex structure. It consists of five small waves.

The first wave labelled C-1 could be broken down into five smaller waves as well.So far, these waves have been observing closely the various projection levels of the wave C.

The current wave C-3 may follow the projection levels when it unfolds towards $3.96-1/4.

Support is at $3.85-3/4, a break below which could cause a fall to $3.83-1/4.

On the daily chart, a bullish wedge has been confirmed, suggesting a target at $4.20-3/4, the 50pc retracement of the downtrend from $4.76 to $3.65-3/4.

A realistic target would be $4.07-3/4, which will be available when corn breaks $3.91-3/4.