Overall, corn looks to be trading in a bearish impulse of a higher degree. We can see Blue Wave one, two, three and now four completed. However, we still know, that an impulse consists out of five legs, which means we may now expect even more weakness on corn, as one final leg looks to be missing.
The previous correction in wave four was hideous, it was slow, overlapping, and hard to count at most. We labeled it as a complex w-x and y pattern, where wave x was found to be a triangle pattern. That said, recent drop that followed from 357.4 level we labeled as the start of wave v, which in our estimation plans to fall to 340 and ideally even lower.
On the intraday chart of corn, we have a better look of the recent fall. We see this drop as minor Wave i) that found its base near the 345 zone and later pushed price sharply higher. We see the current rally as a temporary one, as we believe a corrective Wave ii) can be in the making. Wave ii) may now unfold a three-wave recovery towards the Fibonacci ratio of 50.0 and 61.8, where a resistance can be seen and a new turning point lower may occur.
Corn, 1 hour
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