SINGAPORE: Palm oil may retest a resistance at 5,048 ringgit per tonne, a break above could lead to a gain at 5,187 ringgit.

A five-wave cycle from 4,032 ringgit looks incomplete. The wave (5) is unfolding towards 5,187 ringgit. However, the correction from the Nov. 1 high of 5,063 ringgit is a bit deeper than expected. It makes this wave count doubtful.

A drop to 4,822 ringgit again could confirm the continuation of the correction from the Oct. 21 high of 5,220 ringgit, towards 4,683 ringgit.

On the daily chart, the contract remains neutral in a range of 4,878 ringgit to 5,024 ringgit. An escape could suggest a direction.

A break above 5,024 ringgit could signal the continuation of the uptrend towards 5,350 ringgit, while a break below 4,878 ringgit could cause a fall to 4,698 ringgit.

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