TECHNICALS-CBOT soybeans still targets $10.70

SINGAPORE, Jan 20 (Reuters) - The CBOT soybean March contract SH26 still targets $10.70 per bushel, as it has briefly pierced above a resistance at $10.57-3/4.

Wave pattern suggests the progress of a wave c, which is unfolding toward $10.70, around the peak of the wave a, assuming that a flat pattern or a double-bottom is forming.

Both of these waves observe a series of projection levels on the fall from $11.49-3/4. Strategically, the target of $10.70 will be confirmed when the market breaks $10.62-3/4.

Support is at $10.51-1/4, a break below which may trigger a fall into $10.44 to $10.47-3/4 range. On the daily chart, the contract may either consolidate further or bounce toward $10.74-1/4 to $10.97-1/4 range, as it managed to hover above a rising trendline and a key support of $10.51-1/4.

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.