SINGAPORE: CBOT wheat may end its fall in a range of $8.19-3/4 to $8.22 per bushel, and start a decent bounce thereafter.
The contract is riding on a wave C from $9.06-1/4, which may either end around $8.19-3/4 or extend far below this level.
Regardless of the ending point, this wave could ebb away around $8.19-3/4, surrendering to a bounce.
A retracement analysis on the uptrend from $7.43-1/4 reveals a similar support of $8.22, which will work together with the one of $8.19-3/4 to stop the fall.
Even though wheat is biased to fall a bit further, the downside could be rather limited.
CBOT wheat still targets $8.19-3/4 to $8.22 range
A break above $8.40 may lead to a gain into $8.52-3/4 to $8.63 range.
On the daily chart, wheat has more or less fulfilled its target of $8.21-3/4, which serves as a support as well.
It could be much easier for the contract to bounce towards $8.70-1/4 than to break below $8.21-3/4 and fall towards $7.80-3/4.
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