Soybeans Futures Fell To 9-week low of $14.77, It May Pullback

soybean futures


The Soybeans futures trade hits below the  $14.77-3/4 per bushel level  in the CBOT. due to low demand and higher production. Soybean May contract could lead to a gain into the $15.06-1/4 to $15.12-1/2 range.

Because the grain market and oilseeds export prospects in the United States had begun to deteriorate over the previous few weeks due to declining sales  however, substantial corn purchases by China and even some business in old-crop soybeans have somewhat revitalized the U.S. market.

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As on Thursday, the Department of Agriculture of the United States of America announced for the third time in a row that it had sold 1.92 million tonnes of old-crop corn to China over the course of three days. Since May 2021, corn flash sales to China had not occurred on consecutive days, and the previous flash to China was in August.

While the contract could rise to $15.12-1/2 if a double bottom forms at $14.79. A channel strategy recommends a higher goal of $15.23.

Both the conclusion of the five-wave cycle and the possibility of a wave C ending at $15.38-1/2 make these goals appear to be doable. A break below support at $14.89-1/4 could lead to the $14.78-3/4 to $14.85 range.

On the daily chart, the contract of soybeans futures found support at $14.84-3/4. Before falling, CBOT soybeans grain market may bounce into the $14.99-3/4 to $15.02 range.

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The second pullback, which is expected to be much weaker than the first from the Feb. 28 low of $14.77-3/4, has begun toward a rising trendline.

The contract may bounce into the $15.09-1/2 to $15.24-3/4 range, necessitating the temporary abandonment of a bearish target zone of $14.44-3/4 to $14.64-3/4.