* Soybeans and corn bounce from recent lows
* Gains limited by sizable South American crops
CHICAGO, Jan 23 (Reuters) - U.S. soybean futures rose for a second straight session on Tuesday on technical buying and short covering after notching multi-year lows last week, although lacklustre demand and improved crop weather in top exporter Brazil limited gains.
On the Chicago Board of Trade (CBOT), wheat ended flat and corn posted modest gains as dull demand and plentiful supplies anchored prices and offset technical buying and short covering support.
"We got a little bit of a technical bounce off the $12 (per bushel) mark in soybeans and that's alleviating the over-sold condition in the market," said Ted Seifried, chief market strategist for the Zaner Group.
However, rallies were capped by expectations for a large South American soy harvest. While analysts have cut forecasts for Brazil's soybean and corn crops due to earlier drought, improved rainfall could limit losses there. And Argentina is on course for a bumper harvest.
Meanwhile, demand remains a concern, particularly for U.S. supplies of the oilseed.
"China is not buying U.S. soybeans aggressively," Seifried said.
CBOT March soybeans settled up 15-1/4 cents at $12.39-1/2 per bushel in a further rebound from last week's drop to $12.01, which was the lowest for a most-active contract since November 2021.
CBOT March corn ended 3/4 cent higher at $4.46-1/2 a bushel after hitting overhead resistance at its 10-day moving average.
CBOT March wheat settled unchanged at $5.96-1/2 per bushel, erasing gains after rising to a one-week high at $6.06-3/4.
In corn, attention was turning to planting for Brazil's second annual crop. Forecasters expect lower production from Brazil's second corn crop, reflecting a smaller planted area.
Doubts over Chinese demand were also hanging over the market, with Brazilian supplies posing stiff competition to U.S. soy and corn. (Additional reporting by Gus Trompiz in Paris and Naveen Thukral in Singapore; Editing by Sherry Jacob-Phillips, Varun H K, Emelia Sithole-Matarise and Sandra Maler)
