CBOT soybeans may retrace into $11.83-1/2 to $11.89 range

On the daily chart, the sudden rise on Monday is classified as a part of a wave b, the second wave of a three-wave cycle from $12.13-1/2.

This wave is expected to be reversed by the downward wave c. Such a wave count will only be revised if the market climbs above $12.13-1/2.

A rising trendline indicates a realistic target of $11.83-1/2. Immediate resistance is at $11.97-1/2, a break above which could lead to a gain into the $12.02-3/4 to $12.06 range.

The CBOT soybean November contract SX26 may retrace into a range of $11.83-1/2 to $11.89 per bushel, following its failure to break a resistance at $12.06.

The failure suggests the completion of a five-wave cycle from $11.25. The bottom of a wave 4 around $11.72-3/4 serves as a target.