CBOT wheat may rise to $5.22

16 Jan, 2019

CBOT March wheat may break a resistance at $5.18-1/2 per bushel, and rise to the next resistance at $5.22.
These resistances are identified respectively as the 23.6 percent and the 38.2 percent projection levels of an upward wave C from $5.13-1/4. This wave is capable of travelling into the range of $5.27-1/2 to $5.36-1/2.
On the daily chart, wheat may have more or less completed a consolidation below a strong resistance at $5.23, the 61.8 percent projection level of an upward wave C from $5.01-1/4.
A break above $5.23 will confirm not only an extension of the wave C towards $5.36-1/2, but also a reversal of the downtrend from $6.27-1/2.
Only a fall below $5.13-1/4 (first chart) could signal the continuation of the trend from $5.38-1/2.

Read Comments