The contract is believed to be riding on a wave C, the third wave of a three-wave cycle from $9.41. Compared to the first wave labeled A, this wave C looks too short to complete.
The bounce from the Feb. 20 low of $8.93-1/4 could have been driven by a wave x, the fourth component wave of the wave C. This wave x is expected to be reversed by a downward wave a.
The wave x seems to have completed around a resistance at $9.17-3/4, the 38.2 percent retracement of the uptrend from $8.80-1/2 to $9.41.
A break above $9.17-3/4 could lead to a gain to $9.26-1/2, while a break below $9.03-1/2 could confirm the extension of the wave C towards $8.80-1/2.
* Charts are not available in reports received in email box through "Alert". To get charts, use the news code of TECH/C to retrieve the original reports.
** Wang Tao is a Reuters market analyst for commodities and energy technicals. The views expressed are his own.
No information in this analysis should be considered as being business, financial or legal advice. Each reader should consult his or her own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.