Markets

CBOT corn may retreat into $6.39-3/4 to $6.47-1/2 range

  • On the daily chart, the bounce over the past few days consists of a few candlesticks with very small bodies.
Published May 21, 2021

SINGAPORE: CBOT corn may retreat into a range of $6.39-3/4 to $6.47-1/2 per bushel, as it failed twice to break a resistance at $6.71.

The failures reduce the chance of a further gain. The anticipated double-bottom around $6.33 looks unlikely to be confirmed as well.

The bounce from $6.33 may have completed. Corn is expected to revisit this low over the next few days. A break above $6.71 could lead to a gain to $6.82-3/4.

On the daily chart, the bounce over the past few days consists of a few candlesticks with very small bodies.

This is definitely not a promising signal to bulls. They represent a cautious market sentiment.

The right shoulder of a head-and-shoulders could be developing. However, this pattern may only be confirmed when corn breaks $6.26-3/4.

Each reader should consult his or her own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.

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