TECHNICALS-CBOT soybeans may fall toward $10.38-1/2

SINGAPORE, May 16 (Reuters) - The CBOT soybean July contract SN25 may fall toward $10.38-1/2 per bushel, as it has broken support at $10.55.

The next support will be at $10.38-1/2. Wave pattern suggests a completion of a wave C from $9.85-1/4, which failed to travel far above its 61.8% projection level of $10.71-1/2.

Separately, the pattern from $9.66 looks like a huge bearish wedge, which formed after a downtrend. The lower trendline points at a target of $10.05-1/2.

On the hourly chart, a retracement analysis on the uptrend from $10.36-3/4 reveals a series of fine-tuned support and resistance levels.

The contract is expected to retest support at $10.47-3/4, a break below which could open the way toward $10.36-3/4.

* 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.

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