CBOT soybeans may fall to $8.48-1/2

SINGAPORE: The CBOT soybean May contract may fall to $8.48-1/2 per bushel, as suggested by its wave pattern and a projection analysis.

The contract is riding on a wave C, which started at $9.45. This wave was temporarily disrupted by a support at $8.55-3/4, its 150 percent projection level. The bounce triggered by the support has ended around a resistance at $8.62-3/4. This wave has resumed.

On the daily chart, the moderate bounce on Thursday was due to a support range of $8.53 to $8.55-1/2, formed by the Sept. 18, 2018 low and the July 16, 2018 low.

Unless the contract breaks above $8.62-3/4 soon, the downtrend will be regarded intact.