TECHNICALS-CBOT corn may fall toward $4.25-1/4

SINGAPORE, Feb 9 (Reuters) - CBOT March corn CH26 may break a support of $4.28-1/2 per bushel, and fall toward $4.25-1/4.

The contract has fallen below a rising channel. A duplicated channel suggests a target of $4.25-1/4. A projection analysis of the rise from $4.25-1/4 reveals support at $4.28-1/2, the 61.8% level, which is temporarily holding.

A moderate bounce has been triggered, which may end around $4.30-1/2. A further gain will be considered a pullback toward the upper channel, unless the market breaks $4.32-1/2.

The break would suggest the continuation of the uptrend. On the daily chart, the market failed to break a key resistance at $4.36-1/2, the 61.8% retracement on a downtrend from $4.48-1/2.

The failure has triggered a correction that may extend to $4.26, a support level defined by a short rising trendline.

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

No information in this analysis should be considered 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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