SINGAPORE: Palm oil may retreat to 3,322 ringgit per tonne, as it failed to break a resistance at 3,422 ringgit.

The resistance is identified as the 38.2% retracement of the downtrend from 3,846 ringgit to 3,160 ringgit.

It has triggered a correction towards the support at 3,322 ringgit.

Until the contract gets out of the range of 3,322-3,422 ringgit, it will be hard to figure out the future direction, as the nature of the rise from the Feb. 3 low of 3,210 ringgit remains unknown.

A break above 3,422 ringit could lead to a gain to 3,503 ringgit, while a break below 3,322 ringgit could cause a fall into 3,208-3,260 ringgit range.

On the daily chart, the contract managed to hover above a rising trendline.

The uptrend looks steady right this moment.

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