SINGAPORE: Palm oil may break a resistance at 6,577 ringgit per tonne, and rise into a range of 6,682-6,731 ringgit.
The contract is riding on a wave c from 6,204 ringgit.
This wave observes a set of its own projection levels and a set of retracements on the fall from 7,229 ringgit.
The wave c is expected to travel into a range of 6,682-6,977 ringgit.
Once this target of 6,682 ringgit is fulfilled, the wave c may extend a bit further to 6,731 ringgit. Support is at 6,423 ringgit, a break below which may cause a fall into 6,233-6,317 ringgit range.
Palm oil eases as Indonesia gears up to resume exports
On the daily chart, the contract is riding on an uptrend which keeps steady above a trendline.
A high-low bottom could have formed between May 20 and the May 31.
It signals a completion of the fall from 7,229 ringgit and a continuation of the uptrend.
Source: Brecorder
