TECHNICALS-CBOT soybeans may retest support $10.33-1/2

SINGAPORE, June 4 (Reuters) - The CBOT soybean July contract SN25 may retest support of $10.33-1/2 per bushel, a break below which could trigger a fall to $10.22.

The support is identified as a 50% retracement of the uptrend from $9.85 to $10.82. Generally, the 50% level is likely to serve as a reversal point.

However, the contract is riding on a wave C, which has briefly travelled below its 100% projection level of $10.37. Chances are this wave may extend into the range of $10.14-1/2 to $10.23.

A break above $10.45-1/2 may lead to a gain into the $10.50-3/4 to $10.55 range. On the daily chart, the pattern from the December 2024 low of $9.66 looks like a wedge, the lower trendline of which points at a target of $10.05-1/2.

There was a false break below $10.38-1/2. It could be caused by a pullback towards this level. Strategically, a close of the market below $10.38-1/2 will confirm a break and a target of $10.18-1/4.

* 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.​