CBOT corn may rise toward $4.93-3/4 again
CORN•CBOT December corn technical outlook
SINGAPORE, Aug 19 (Reuters) - CBOT December corn CZ26 may rise toward $4.93-3/4 per bushel again, as suggested by its wave pattern and a projection analysis.
The uptrend from $4.57-1/2 may consist of five waves. The fifth wave, the wave e, is expected to unfold toward the upper trendline of a wedge.
A projection analysis marks a target of $4.95-1/4, the 376.4% level. Immediate support is at $4.89, a break below which could trigger a fall into the $4.86-1/4 to $4.87-1/2 range.
A break below $4.86-1/4 would suggest a reversal of the uptrend from $4.70-1/2.
On the daily chart, the contract faces resistance at $4.90-1/2, the 50% projection level of a wave C from $4.57-1/4.
The market's reaction to this barrier seems moderate, a sign that the wave C could easily extend to $4.98-1/4, one of its endpoints.
