Wednesday, 26 August 2015 10:52
SINGAPORE: CBOT soybeans November contract still targets $ 8.93-3/4 per bushel, as it could have completed a five-wave cycle starting at the Aug. 10 high of $ 9.96-1/2.
Many small waves made up the cycle, with one of the waves, the wave ii, having peaked around a resistance at $ 9.23, the 61.8 percent Fibonacci projection level of the cycle. Wave theory suggests this peak may be approached.
It will be strategically ideal to target $ 8.93-3/4 when the contract climbs above $ 8.77-3/4, the 100 percent level. Support is at $ 8.60-1/4, the 114.6 percent level, a break below which will cause a loss to $ 8.49-1/2, the 123.6 percent level.
