Palm oil may fall to 4,555 ringgit; prices set to crash further

SINGAPORE: Palm oil may fall to 4,555 ringgit per tonne, driven by a wave a.

This is the fifth wave of a double-zigzag. A falling channel suggests a target around 4,555 ringgit. After the consolidation in the narrow range of 4,751 ringgit to 4,812 ringgit, the following drop could be full of momentum.

A rise from the current level will be regarded as a pullback towards 4,751 ringgit. The pullback is unlikely to extend beyond this point.

On the daily chart, palm oil returned to the lower channel. This latest move is very bearish, as the channel suggests a target around 3,936 ringgit.

The slow drop within the upper channel could be a preparation of bears before launching a major attack.

With the deployment well in place, bears are poised to drive the price rapidly towards 3,936 ringgit.

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