TECHNICALS — CBOT wheat may test support at $7.13 — 3/4

For more technical analysis, click TECH/C SINGAPORE, Sept 18 (Reuters) — CBOT December wheat may test a support at $7.13-3/4 per bushel, a break below which could open the way toward $6.98-1/2. After failing to break a resistance at $7.30-1/2, the contract broke the support at $7.23. The next support will be at $7.13-3/4. The bounce from the September 15 low of $7.11-1/4 has been deeply reversed. The reversal indicates a continuation of the downtrend from $7.95, which might be extending toward $6.98-1/2, the 100% projection level of a wave C from $7.62-1/2. A break above $7.23, now a resistance, may lead to a gain to $7.30-1/2. A further gain would signal the continuation of the short uptrend from $7.11-1/4. On the daily chart, trending signals turned neutral, as the market is stuck in a narrow range of $7.13-3/4 to $7.30. An escape would suggest a direction. Wang Tao is a Reuters market analyst for commodities and energy technicals. The views expressed are his own. His analyses are published exclusively on the Workspace platform, a London Stock Exchange product. * No information in this analysis should be considered as being business, financial, or legal advice. Each reader should