CBOT wheat may fall to $6.49
WEAT•CBOT September wheat may break support
CBOT September wheat WU26 may break support at $6.56 per bushel, and fall to $6.49.
A wave c from $6.86-1/2 is travelling toward a range of $6.25-3/4 to $6.49, formed by its 100% and the 61.8% projection levels.
The 50% level of $6.56 serves as a temporary support. It is not very clear a bounce would occur. Such a bounce might be capped at $6.63-1/4.
A stronger bounce above this level would complicate the picture, as such a move would not fit well with the current bearish outlook.
Daily chart signals a resumed downtrend
On the daily chart, a long-shadowed shooting star during the previous session confirmed a completion of the bounce triggered by the 6.54-3/4. The downtrend from $7.11-1/4 may have resumed.
