SINGAPORE: CBOT March wheat may test a resistance at $7.85-3/4 a bushel, a break above could lead to a gain at $7.96-1/2.
The current rise has been precisely controlled by a set of retracements of the fall from $8.31-1/2.
After breaking above the resistance at $7.74-3/4, the contract may test the next resistance at $7.85-3/4.
An inverted head-and-shoulders has been confirmed as wheat pierced above $7.74-3/4, the neckline resistance.
The pattern indicates a target around $8.03-3/4.
EU 2021/22 soft wheat exports reach 16.92 million tons
A drop below $7.71-1/4 will make the pattern invalid. On the daily chart, wheat could be consolidating within a wide range from $7.41 to $8.35-1/2.
Following its several failures to break support at $7.41, the contract is biased to rise towards $8.35-1/2.
But first, it needs to overcome the immediate barrier at $7.80.
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.
Comments
Comments are closed for this article.