Chicago Board of Trade wheat futures were higher early on Friday on a technical recovery after Thursday's drop to contract lows, traders said. As of 10:30 am CST (1630 GMT), March wheat was up 1 cent per bushel at $2.90-1/2. Short covering by locals lifted values after the opening bell. Goldenberg Hehmeyer was an early buyer of 200 March contracts while Calyon Financial sold 200 March, traders said.
Thursday's sell-off drove the March contract into oversold technical territory, with the nine-day relative strength index closing at 30. Technical traders consider an RSI of 30 or less as one indicator of an oversold market.
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