Markets

Palm oil to drop to 3,100 ringgit/T

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An upward wave "c" is peaking, as it slowed immediately after piercing above a resistance at 3,167 ringgit, the 100 percent Fibonacci projection level, based on the length of the wave "a" and the trough of the wave "b" at 2,914 ringgit.

The RSI indicator was unable to touch new highs when the price continued to hit higher highs, suggesting a bearish reversal is near.

The target at 3,240 ringgit has been aborted.

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Copyright Reuters, 2010