SINGAPORE: CBOT corn is expected to break a support at $5.86-1/4 per bushel and fall towards $5.54.
The consolidation above the support has been shaped into a bearish triangle, which suggests a target of $5.34-1/4.
The pattern will be confirmed when corn breaks $5.86-1/4.
The triangle makes a part of a pennant which developed from $7.54-1/4.
The latter suggests a much lower target of $4.90. Resistance is at $5.97-1/2, a break above which may lead to a gain into $6.06 to $6.18-1/4 range.
CBOT corn to fall towards $5.54
On the daily chart, the downtrend remains steady within a falling channel. The trend is riding on a wave e, which may travel into a range of $5.21-3/4 to $5.51-1/2.
This range is a part of a bigger range of the wave 4, from $4.73-1/2 to $5.55-1/2.
Wave theory indicates a further fall as well.