SINGAPORE: CBOT May corn is biased to break a resistance at $6.33-1/2 and rise into a range of $6.35-1/4 to $6.38-1/2 per bushel, due to its strong recovery from the March 20 low of $6.25.
The recovery suggests an extension of the bounce from the March 10 low of $6.06-3/4, towards the peak of the wave 4 at $6.42-3/4.
Strategically, the target range of $6.35-1/4 to $6.38-1/2 will only be available when corn breaks $6.33-1/2. A break below the support of $6.28-1/2 could be followed by a drop into $6.22-1/4 to $6.25-1/2 range.
Signals are a bit mixed on the daily chart, as corn is stuck in a range of $6.27-1/4 to $6.38-1/4. An escape from the range would suggest a direction. Undoubtedly, the strong rise on the hourly chart on Monday was triggered by the support at $6.27-1/4.
CBOT corn to rise to $6.42-3/4
But it remains questionable if corn could keep its bullish momentum.
Readings on the hourly chart suggests an upside bias. A break above $6.38-1/4 could open the way towards $6.47 to $6.56 range.
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