SINGAPORE: CBOT May wheat may retest a support at $9.71-1/4 per bushel, a break below which could cause a fall to $9.24-1/2.

The contract is riding on a wave C, which may either end around $9.71-1/4 or extend to $8.49.

The bounce triggered by the support at $9.71-1/4 seems to have adopted a corrective wave mode, which indicates an extension of the wave C towards $8.49.

A rise to $10.20 may be extended to $10.46-3/4.

Wheat production target missed

On the daily chart, the drop is controlled by a set of retracements on the uptrend from $8.59-3/4.

The bounce triggered by the support at $9.78-1/2 only managed to pierce above $10.52.

With wheat approaching $9.78-1/2 again, it is likely to break this level and fall more.