Technicals-CBOT soybeans may rise into $12.30-1/2 to $12.35 range
SOYB•Downside levels if support fails
A break below $12.21-1/2 may trigger a fall into the $12.12-3/4 to $12.17-3/4 range. On the daily chart, the contract may revisit its July 24 high of $12.56-1/2 per bushel, due to its stabilization around a support at $11.75-3/4 and the subsequent strong rise.
The support is identified as the 61.8% retracement of the uptrend from $11.22-3/4. The resumption of the rise from around this level signals a continuation of the uptrend from $11.21-3/4.
Soybeans may extend gains above $12.25-1/2
The CBOT soybean November contract SX26 may break a resistance at $12.25-1/2 and rise into the $12.30-1/2 to $12.35 range.
A retracement analysis on the fall from $12.56-1/2 reveals a break above the key barrier at $12.21-1/2, the 61.8% retracement.
The break increases the chance of the market to climb to $12.56-1/2. Although the 161.8% projection level at $12.25-1/2 could mark the end of a minor wave c, strong bullish momentum suggests the market is likely to extend gains beyond that level.
