SINGAPORE: The CBOT soybean November contract may revisit its July 27 high of $13.87-1/2 per bushel, as it has broken a resistance at $13.68-3/4.

This is the last barrier towards $13.87-1/2. A projection analysis on the uptrend from $13.23 reveals a break above a key barrier at $13.69-3/4, the 100% projection level.

Such a break increases the chance of a wave c to extend into $13.87-1/2 to $13.98-1/2 range. A break below $13.68-3/4 could cause a fall to $13.57-1/4.

August corn, soybean yields to be lower than July

On the daily chart, the contract climbed above a falling channel. A duplicated channel suggests a target around $14.18. A realistic target could be either $13.83 or $14.01.

The nature of the current rise remains unclear. It could be a part of the correction from the June 7 high of $14.80 or a continuation of the preceding uptrend. In either case, the contract may climb to $14.18 first.

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