SINGAPORE: CBOT March corn is biased to break a support at $3.67-1/2 per bushel and fall towards the next support at $3.64, as indicated by a Fibonacci retracement analysis and falling channel.
The retracement analysis is on the downtrend from the Dec. 18, 2015 high of $3.79-1/2 to the Jan. 7 low of $3.48-1/2.
It reveals the contract has been hovering below a resistance at $3.72, the 76.4 percent level, for several days.
The chance of a break above this barrier has become very low. In addition, a falling channel also suggests corn may fall towards $3.53.
A break above $3.72 could lead to a gain to $3.75-1/4, the 86.4 percent level.
Comments
Comments are closed.