SINGAPORE: The CBOT soybean March contract may break a resistance at $15.60-3/4 per bushel and rise into the range of $15.72-1/4 to $15.91-1/4.

The strong recovery of the price from the Thursday low of $15.29 confirms a continuation of the uptrend. The drop triggered by the resistance at $15.60-3/4 has almost been reversed. The reversal also confirms a continuation of the uptrend.

Support is at $15.42, a break below could cause a fall to $15.23.

On the daily chart, the contract is riding on an extended wave (5).

US soybeans retreat from 8-month peak on profit-taking

It is generally difficult to pinpoint the peak of the wave five.

The projection analysis suggests a target zone of $15.72-1/4 to $15.91-1/4.

The depth of the correction from the June 7, 2021 high of $14.45-1/2 indicates an aggressive target of $16.90.

The biggest concern is the absence of a decent correction on the uptrend from $13.82-1/2.

It may occur in the resistance zone of $15.72-1/4 to $15.91-1/4.

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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