SINGAPORE: CBOT May wheat may fall to $6.39-3/4 per bushel, as it is peaking around $6.59.

The contract is riding on a wave 5, the final wave of a bigger wave c from $6.01-1/4.

This wave c looks exhausted around its ultimate target of $6.63-1/2, the 161.8% projection level.

The bearish divergence on the hourly MACD confirms the exhaustion of the rally.

A decent correction is due. On the daily chart, two doji formed around a resistance at $6.54-3/4, on Monday and April 16.

They are bearish reversal patterns, suggesting a completion of the rally from $5.93-1/4. A falling channel also indicates a deep correction soon.

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