CBOT wheat may rise into $4.31 to $4.33-1/4 range

The resistance was provided by the 61.8 percent Fibonacci retracement of the drop from the Oct. 14, 2016 high of $4.45-3/4 to the Dec. 1, 2016 low of $3.93. Based on this retracement analysis, wheat may gain more to $4.33-1/4.

However, the rally seems to be controlled also by a set of Fibonacci projection levels of an upward wave c from the Dec. 23, 2016 low of $3.92-3/4. The 123.6 percent level works as a temporary resistance to prevent wheat from rising further.

Strategically, the target zone of $4.31 to $4.33-1/4 will be confirmed when wheat breaks above $4.27. A further correction from the current level may be limited to $4.24-1/2.