16.01.2019 (The Edge Markets MY) - SINGAPORE (Jan 16): Palm oil may fall into a range of RM2,103-2,121 per tonne, as suggested by its wave pattern and a projection analysis.

The uptrend from RM1,940 could be well broken down into five waves. Its structure and the drop from the Jan 9 high of RM2,202 suggest a completion of the trend.

A rising trendline suggests a target zone formed by 100% and the 114.6% projections level of an upward wave c from RM1,979.

The bottom of the forth wave labelled d also ended around RM2,103, which may be approached, according to wave theory.

On the daily chart, palm oil could have resumed its downtrend within a falling channel, which suggests an aggressive target around RM1,857, the 138.2% projection level of a downward wave (c). This target may be fulfilled in the first quarter.