01.07.2019 (The Edge Markets MY) - SINGAPORE (July 1): Palm oil may fall to 1,929 ringgit, as it has broken a support at 1,971 ringgit per tonne.

The support was provided by the 86.4% projection level of a downward wave C from 2,235 ringgit. The next support is at 1,929 ringgit.

A triangle has been confirmed as a bearish continuation pattern, suggesting a much lower target 1,857 ringgit. A bounce from the current level will be regarded as a pullback towards the triangle. The pullback could be limited to 1,971 ringgit.

On the hourly chart, another projection analysis suggests a target at 1,908 ringgit, the 100% level of a downward wave c from 2,059 ringgit.

Resistance is at 1,966 ringgit, a break above which could lead to a gain limited to 1,984 ringgit, which is close to 1,971 ringgit on the daily chart. – Reuters