CBOT soybeans may retest resistance at $15.96-3/4

SINGAPORE: The CBOT soybean July contract may retest a resistance at $15.96-3/4 per bushel, a break above which could lead to a gain to $16.18-3/4.

The contract is riding on a wave 5, which is unfolding towards $16.18-3/4.

A rising trendline points to a higher target of $16.32-1/4.

Even though the contract failed twice to break $15.96-3/4, it did not break the support at $15.74-3/4 either.

Probably, it just needed a consolidation after the successive gains over the past few days.

A break below $15.74-3/4 could cause a fall into $15.48-1/2 to $15.61-1/4 range. On the daily chart, the uptrend is developing within a rising channel, which points to a target of $16.41-3/4.

The contract managed to hover above $15.73, the former resistance. It is likely to test the next resistance at $16.41-3/4.

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