SINGAPORE, Dec 4 (Reuters) -CBOT soybean January contract SF25 may retrace towards $9.80 per bushel, following its second failure to break resistance at $9.99-1/2.
The current consolidation seems to be developing within a short channel, which indicates a fall towards $9.80. The wave pattern suggests the completion of a five-wave cycle.
The completion increases the chance of a fall towards the bottom of the wave d around $9.77. A break above $9.91 could open the way towards $9.99-1/2.
On the daily chart, signals are mixed, as the market remains sideways around support at $9.83-1/2. A drop to $9.75 will confirm a break below $9.83-1/2. A target of $9.39-1/2 will be established accordingly.
