SINGAPORE: Signals are mixed for the CBOT soybean May contract, as the nature of the rise from the April 10 low of $14.82-1/2 remains unknown.

The rise could be a continuation of the uptrend from $14.05.

However, this reading has a big flaw that the rise adopted a corrective wave mode, which is not corresponding to the preceding five-wave mode from $14.05. One of the possibilities could be that a wave b is developing.

This is the second wave of a correction from the April 5 high of $15.27.

The wave b is expected to end below $15.27.

A break above $15.13-1/2 could lead to a gain into $15.20 to $15.26-1/2 range, while a break below $15.07-1/4 could open the way towards $14.93-1/4 to $14.99-3/4 range.

China March soybean imports rise 8% on year

Signals on the daily chart suggest an upside bias, as the contract has pierced above a resistance at $15.09-1/2.

It may test the next resistance at $15.24-3/4.

Comments

Comments are closed.