Palm oil faces pivotal resistance at 3,057 ringgit/T

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SINGAPORE: A bullish target at 3,144 ringgit would be established for Malaysian palm oil should it be able to overcome a resistance at 3,057 ringgit per tonne.

The resistance is the 61.8 percent Fibonacci retracement on the fall from 3,144 ringgit to 2,917 ringgit, and a rise above this level would open the way to 3,144 ringgit.

So far the momentum of the rebound is strong, with several gaps observed on the hourly chart, but most importantly, the retracements in the rally are very shallow.

Support is at 2,999 ringgit, a fall below which will signal the completion of the rebound.

No information in this analysis should be considered as being business, financial or legal advice. Each reader should consult his or her own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.