SINGAPORE: CBOT corn may retest a resistance at $5.47-1/4 per bushel, a break above which may lead to a gain to $5.54.

The contract stabilised around a support at $5.32-1/4, the July 26 low. The bounce triggered by this support looks incomplete, as the bullish divergence on the hourly RSI has not been fully discounted.

The failure to break $5.47-1/4 could be partially due to a similar resistance established by a falling trendline. With these resistances standing in the way, corn may fail again to break $5.47-1/4 in its current attempt.

CBOT Trends: Soyabeans up, corn up, wheat down

A break below $5.36-1/2 could cause a fall into the $5.26 to $5.32-1/2 range.

On the daily chart, corn faces a resistance at $5.47-3/4, which almost coincides with $5.47-1/4 on the hourly chart.

It could be much easier for corn to drop towards $5.33-1/2 than to break $5.47-3/4 and rise towards $5.65-1/2.

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