CBOT corn may rise into $3.29-1/4 to $3.31-1/2 range

SINGAPORE: CBOT September corn may break a resistance at $3.27-3/4 per bushel, and rise into a range of $3.29-1/4 to $3.31-1/2.

The contract failed twice to break a support at $3.22-1/2, the 223.6pc projection level of a downtrend from $3.55.

The failures signal the formation of a double-bottom.

The pattern indicates a rise towards $3.34-3/4. Support is at $3.26, a break below which could cause a fall to $3.23-3/4.

On the daily chart, a retracement analysis on the downtrend from $4.10 to $3.15-3/4 reveals a support at $3.22-1/4, the 7pc level.

Coincidentally, this support held corn twice as well.

Chances are the contract may rise towards the July 17 high of $3.34-3/4.