CBOT corn may hover above $5.23-1/2

SINGAPORE: CBOT March corn may hover above a support at $5.23-1/2 per bushel for one day or bounce moderately to $5.33-1/4 before falling again.

The support is provided by the 61.8% retracement of the uptrend from $4.92-1/2 to $5.74-1/4. It is supposed to hold awhile, as the former support at $5.33-1/4 did not work.

A break below $5.23-1/2 could open the way towards the range of $4.92-1/2 to $5.11-3/4. On the daily chart, the current fall is presumed to be against the uptrend from $4.14-1/2.

A retracement analysis reveals a break below $5.36-1/2, the 23.6% level. The break opened the way towards $5.13.

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