TECHNICALS-CBOT soybeans may test resistance range of $10.67 to $10.69-1/4

SINGAPORE, May 27 (Reuters) - The CBOT soybean July contract SN25 may test the resistance range of $10.67 to $10.69-1/4 per bushel, a break above which could open the way toward $10.72-1/4.

The contract managed to hover above a rising trendline. The uptrend from $10.46-1/4 is thus considered steady. It could be extending toward $10.72-1/4 again.

A break below support at $10.61-1/2 will not only cause a fall into $10.56 to $10.59 range, but also suggest a continuation of the downtrend from $10.73-1/4.

On the daily chart, the contract is stuck in a neutral zone of $10.55 to $10.71-1/2. An escape is required to evaluate the next direction.

Both a break above $10.71-1/2 and a break below $10.55 will have a big impact on the following chart formation, as they will determine whether the downtrend from $11.04-3/4 has resumed or the uptrend from $9.85-1/4 has continued.

* 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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