Palm oil target 3,144 ringgit/T aborted

SINGAPORE: A bullish target at 3,144 ringgit per tonne has been aborted for Malaysian palm oil and a bearish target has been established at 2,917 ringgit.

The break above a resistance at 3,057 ringgit proved to be false, and the contract may continue to fall to 2,917 ringgit, a low touched on Aug. 9, resuming a short-term downtrend that started at the Aug. 3 high of 3,144 ringgit.

Resistance is at 3,050 ringgit, a break above which may extend to 3,083 ringgit, the high touched on Monday.

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Copyright Reuters, 2011