SINGAPORE: Palm oil may test a support at 5,484 ringgit per tonne, with a good chance of breaking below this level and falling into 5,366-5,425 ringgit range.

The contract failed to break a resistance at 5,608 ringgit.

The failure marked the completion of a bounce from the Feb. 17 low of 5,412 ringgit.

The downtrend from the Feb. 15 high of 5,773 ringgit may have resumed, which may consist of three waves. The wave c is unfolding towards the target zone.

A break above 5,608 ringgit could lead to a gain into 5,676-5,749 ringgit range. On the daily chart, a round top is forming below a key resistance at 5,821 ringgit.

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The top will be confirmed when the contract breaks 5,412 ringgit. The break could open the way towards 5,189 ringgit.

A break above 5,666 ringgit would complicate the picture as the contract may either peal around 5,821 ringgit or extend much to 6,112 ringgit.

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