SINGAPORE: The CBOT soybean March contract may drop to $15 per bushel, following its failure to break a resistance zone of $15.30-1/2 to $15.35. In total, the contract has failed to overcome this barrier three times — an unusual failure that suggests the formation of a top or an extension of the correction from $15.48-1/2.

A rising trendline points at a target of $15.

A break above $15.35 could lead to a gain into the $15.51-1/2 to $15.72-1/4 range.

On the hourly chart, the contract seems to be riding on a wave C from $15.39-3/4, which could travel to $15.06-3/4.

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The bounce triggered by the support of $15.19-1/4 may have ended around a resistance at $15.27. The support could be re-tested soon.

A break above $15.27 may lead to a gain into the $15.31-3/4 to $15.39-3/4 range.