Palm oil’s target of 4,246 ringgit aborted

SINGAPORE: A bullish target of 4,246 ringgit per tonne has been temporarily aborted for Palm oil.

It will only be resumed when the contract breaks 4,057 ringgit.

Signals turned neutral as the contract is sandwiched in a narrow range of 3,840-4,057 ringgit.

A break above 4,057 ringgit could lead to a gain into 4,232-4,407 ringgit range, while a break below 3,840 ringgit may trigger a drop into 3,489-3,706 ringgit range.

The bias could be towards the upside, as suggested by the readings on the daily chart.

Palm climbs over 3pc as buyers ramp up purchases

A falling channel marks a target zone of 4,331-4,543 ringgit.

An upward wave (4) is unfolding towards this target zone.

The bullish divergence on the RSI supports a further bounce as well.