08/09/2017 (The Edge Markets MY) - SINGAPORE (Sept 8): Palm oil Nov. contract may retest a resistance at 2,790 ringgit per tonne, with a good chance of breaking above this level and rising more into the range of 2,811-2,836 ringgit.

The resistance is identified as the 50 percent Fibonacci projection level of an upward wave c, the third wave of a presumed three-wave cycle from the Aug. 16 low of 2,608 ringgit. This wave could at least travel to 2,811 ringgit. At its full capacity, it may extend to 2,877 ringgit.

A Fibonacci retracement analysis on the downtrend from the Dec. 19, 2016 high of 2,993 ringgit to the May 31 low of 2,380 ringgit reveals that palm oil has broken a resistance at 2,759 ringgit. It is rising towards 2,848 ringgit - the 76.4 percent level.

A correction may be limited to 2,744 ringgit. - Reuters