6 May 2019 (The Edge Markets MY) SINGAPORE : Palm oil is expected to seek a support range of RM1,940-1,967 per tonne and stabilize around it.

The zone is formed by the Nov 27, 2018 low and the 123.6% projection level on a downtrend from RM2,896. The bounce from RM1,940 was due to the support at RM1,967. It was very strong, lasting a few months.

Another bounce may be triggered by either the support at RM1,967 or the support at RM1,940. A break below RM1,940 may be extended to RM1,857.

On the hourly chart, a projection analysis reveals a support at RM1,967, the 261.8% level of a downward wave c from RM2,218, which apparently stops the fall. The bearish momentum could have dissipated a bit.

A break below RM1,967 may cause a loss to RM1,930.