A low is in place?
Soybeans could potentially have found a major low at 844 recently.
Soybeans appear to have completed its correction following the move to below the 2014 low of 904 this year.
Supported by its bullish divergence on its weekly RSI and MACD, soybeans could be poised for a decent run in the 1H of 2016.
The bounce if it continues from here, could potentially lift prices back up to retest the 1059-1086 levels.
As long as the 844.50 levels hold, the MT bullish view would continue to hold.
In the immediate term, prices seem to be trying to build a base above the 30-day SMA.
Once this base is formed, we expect soybeans to rally to above 909.75 next, targeting the 950s next.
The 844 low needs to hold if both the MT and ST bullish bounce are to continue into next year
. Looking up for now. (Read Report)
Source : CIMB Research
Labels: Technical Analysis