SINGAPORE: CBOT December wheat still targets $5.66 per bushel as it has broken a support at $5.83-3/4.
The support was provided by the 23.6 percent retracement of the uptrend from $4.90 to $6.13. The next support will be at $5.66.
A long-shadowed shooting star forming on Aug. 2 signals a completion of the uptrend from $4.90. The black candle appearing on Aug. 3 makes this shooting star more effective.
The uptrend has been driven by a wave C, the third wave of a three-wave cycle from $4.68-1/4. This wave seems to have peaked around a key resistance at $6.09-3/4, its 100 percent projection level, as indicated by its five-wave structure.
Resistance is at $5.83-3/4, a break above which could lead to a gain limited to $5.95.
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Source: Brecorder
