SINGAPORE: CBOT May corn may break a support at $3.83-1/2 per bushel and fall towards the next support at $3.80-3/4, as suggested by its wave pattern and a ratio analysis.
These supports are identified respectively as the 50 percent and the 38.2 percent projection levels of an upward wave C from $3.72.
The depth of the drop from the April 9 high of $3.92-1/2 signals a completion of this wave. The drop consists of three waves. The third wave labelled c is unfolding towards $3.81-3/4, its 100 percent projection level.
Once corn falls to $3.81-3/4, it is likely to extend a bit further to $3.80-3/4. Resistance is at $3.86-1/4, a break above which may lead to a gain to $3.89-1/4.
No information in this analysis should be considered as being business, financial or legal advice. 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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