17 July 2019 (The Edge Markets MY) SINGAPORE: Signals are mixed for palm oil, as it failed to break a resistance at RM1,984 per tonne.

The resistance is identified as the 50% projection level of a downward wave c from RM2,059. This barrier triggered a correction, which could be regarded as a pullback towards a falling trendline.

However, this correction could also indicate a reversal of the short uptrend from the July 10 low of RM1,916. Signals will become clearer when the contract leaves the range of RM1,966-1,984.

A break below RM1,966 may cause a fall to RM1,944, while a break above RM1,984 could lead to a gain into a range of RM2,001-2,023.