TECHNICALS-CBOT soybeans may retest support at $10.03-1/4

SINGAPORE, March 4 (Reuters) - The CBOT soybean May contract SK25 may retest support at $10.03-1/4 per bushel, a break below which could open the way toward $9.89-3/4 to $9.95-3/4 range.

The contract is riding on a wave C, which has travelled far below its 100% projection level of $10.35. It is expected to extend to the range of $9.83-3/4 to $9.95-3/4, formed by the 161.8% and the 138.2% projection levels.

Resistance is at $10.15-1/2, a break above which could lead to a gain into $10.22-1/2 to $10.27-1/2 range. On the daily chart, the contract seems unable to overcome the barrier at $10.07-1/2, as it briefly pierced below this level.

However, the true indication only comes after the close of the market on Tuesday, as the candlestick pattern is yet to be confirmed.

A close above $10.07 would suggest the formation of bottom.

Wang Tao is a Reuters market analyst for commodities and energy technicals. Views expressed are his own.

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