CBOT corn may retest resistance at $3.34-1/2
- The resistance is identified as the 114.6pc projection level of an upward wave C from $3.16.
SINGAPORE: CBOT July corn may retest a resistance at $3.34-1/2 per bushel, a break above which could lead to a gain into the $3.36 to $3.38-1/4 range.
The resistance is identified as the 114.6pc projection level of an upward wave C from $3.16.
This wave was thought to have ended around this resistance.
The surge on Wednesday, however, strongly suggested an extension of the wave C. Based on the consolidation range from $3.26 to $3.34, the wave C could travel to $3.42-1/4.
Support is at $3.30, a break below which could cause a fall into a zone of $3.26 to $3.28-1/4.
On the daily chart, the contract may retest a resistance at $3.35, the 23.6pc retracement on the downtrend from $4.20 to $3.09.
A break could trigger an explosive rise towards $3.51-1/4.