TECHNICALS-CBOT soybeans may retrace into $10.03-1/4 to $10.08 range

SINGAPORE, March 6 (Reuters) - The CBOT soybean May contract SK25 may retrace into a range of $10.03-1/4 to $10.08 per bushel, as its bounce seems to have lost momentum around resistance at $10.22-1/2.

The dissipation of the bullish momentum indicates the completion of the bounce from $9.91, or a part of this bounce if it unexpectedly extends later.

The contract could either resume its downtrend or retrace into a support zone. A break above $10.22-1/2 could lead to a gain into $10.27-1/2 to $10.35 range.

On the daily chart, the bounce extends close to the resistance at $10.23-3/4, which is strengthened by the similar barrier established by the falling channel.

The contract is likely to fall than to rise. A further gain from the current level might be capped at $10.30, the channel resistance.

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

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