SINGAPORE: Palm oil may extend its gains into a range of 3,824-3,919 ringgit per tonne, as it has broken a resistance at 3,754 ringgit.

The resistance could be the last barrier towards 3,919 ringgit. The whole downtrend from this Sept. 21 high is likely to totally reverse.

A retracement analysis on a bigger downtrend from 4,495 ringgit reveals a target zone of 3,858-4,008 ringgit range, which engulfs the 3,919 ringgit level.

Support is at 3,707 ringgit, a break below which may open the way towards 3,570-3,652 ringgit range.

On the daily chart, the contract has broken a resistance at 3,647 ringgit.

The break opened the way towards 3,891-4,070 ringgit range.

Palm gains for third session on stronger crude

The current strong rise suggests a completion of a five-wave cycle from 7,229 ringgit.

The wave (4) ended at 4,495 ringgit which will become a short-term target once the contract breaks 3,891 ringgit.

Comments

Comments are closed.