16/01/2018 (The Edge Markets MY) - SINGAPORE (Jan 16): The palm oil third-month contract may rise into a range of 2,577-2,612 ringgit per tonne, as it has found a support at 2,519 ringgit.

The support is identified as the 138.2 percent projection level of a downward wave c. A double-bottom forming around 2,417 ringgit indicates a target around 2,705 ringgit. It seems that the drop from the Jan. 9 high of 2,641 ringgit may have ended and the uptrend resumed.

The rise from 2,417 ringgit has adopted a five-wave mode, which suggests the development of a zigzag. Three bigger waves make up the pattern. The third wave labeled C could travel above 2,641 ringgit.

 A break below 2,519 ringgit could cause a loss to 2,491 ringgit. – Reuters