SINGAPORE: CBOT July wheat may test a resistance at $5.00-3/4 per bushel, with a good chance of breaking above this level and rising more towards the next resistance at $5.08.
The resistances is identified as the 61.8 percent and 38.2 percent projection level of a wave c from $5.20-1/4. This wave has ended, following its failure to break a key support at $4.88-3/4.
Either the downtrend from $5.38-1/2 has reversed or a decent bounce is developing. The circled part on the chart looks like a small inverted head-and-shoulders, which has been confirmed, suggesting a target at $5.08.
A correction may be limited to $4.96.
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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