CBOT corn may bounce to $3.66-1/2

SINGAPORE: CBOT December corn may bounce moderately to $3.66-1/2 per bushel, as it has found a support at $3.63-3/4.

The support is provided by the 38.2 percent projection level of a wave c from $3.54-1/2. It may trigger a pullback towards a rising trendline.

A break above $3.66-1/2 could lead to a gain to $3.69-1/4, while a break below $3.63-3/4 could cause a loss to $3.60.

The bias is towards the upside, as on the daily chart, a retracement analysis on the downtrend from $4.29-1/2 to $3.42-1/2 reveals a support at $3.63, which works together with the support at $3.63-3/4 to prevent a further fall.