SINGAPORE: Palm oil may end its fall in a support zone of 6,190-6,290 ringgit, and then test a resistance at 6,602 ringgit a tonne.
The contract is riding on a powerful wave (3) which is capable of travelling to 7,419 ringgit. Many smaller waves make up this wave (3).
The current wave (3)-2 may end around the bottom of a wave ii which falls within the range of 6,190-6,409 ringgit.
A break below 6,190 ringgit is less likely.
A break above 6,602 ringgit could lead to a gain into the range of 6,758-6,914 ringgit. On the daily chart, the contract is riding on a wave (C) from 5,477 ringgit.
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A projection analysis on this wave reveals a strong support at 6,190 ringgit as well.
This support is expected to work together with the support zone of 6,190-6,290 ringgit on the hourly chart to stop the fall.
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