02.07.2019 (The Edge Markets MY) - SINGAPORE (July 2): Palm oil still targets RM1,929 per tonne, as suggested by a projection analysis and a triangle.

The contract has broken a support at RM1,971, the 86.4% projection level of a downward wave C from RM2,235. The next support is at RM1,929.

The rise to a high at RM1,982 on Monday proved to be a pullback towards a triangle, which has been confirmed as a bearish continuation pattern, suggesting a target at RM1,857. The pullback was a bit overdone.

On the hourly chart, palm oil is riding on a wave c from RM2,059. A projection analysis suggests a target of this wave at RM1,908, the 100% level.

Resistance is at RM1,966, a break above which could lead to a gain limited to RM1,984.