TECHNICALS-CBOT soybeans may retest resistance at $10.22

SINGAPORE, March 18 (Reuters) - The CBOT soybean May contract SK25 may retest resistance at $10.22 per bushel, driven by a wave C.

This wave started at $9.94. It may either end around $10.22, its 61.8% projection level or extend to $10.39-1/2. As long as the market hovers above support at $10.11-1/4, the possibility of the extension will be high.

A break below $10.11-1/4 could trigger a drop to $10.04-3/4. Such a drop will confirm the completion of the wave C and a resumption of the downtrend from $10.74.

On the daily chart, the contract has climbed above a falling channel. A duplicated channel indicates a target around $10.50. However, this target won't be available until the contract breaks $10.23-3/4.

A break below $10.07-1/2 will suggest the continuation of the downtrend within the lower channel.

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

No information in this analysis should be considered as being business, financial or legal advice. Each reader should consult their own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.