- Indonesia RBD Palm Olein spot prices traded negative & closed at IDR 14508 in its prior week, while currently settled at IDR 14825 with a gain of IDR 317 during the current week.
- Indonesia RBD Palm Olein spot prices faced strong rejection from IDR 14924 level (coincided with 52-week EMA) placed around the same level in its prior week & subsequently retreated lower towards IDR 14508 level, suggesting the bearish momentum has further strengthened up & dominating the prices on the downside, thereby ongoing recovery is an ‘interim corrective bounce’ which is vulnerable & potentially fizzle out in the next few days as the down-trend is strong & making ‘lower highs lower lows’ without any meaningful recovery. Furthermore, prices are already trading below ‘50% retracement’ of the previous up-move (IDR 12495 Oct’23 to IDR 17357 Apr’24) is further likely to extend its losses towards ‘61.80% retracement’ of the previous up-move (IDR 12495 Oct’23 to IDR 17357 Apr’24) placed around IDR 14300 in the upcoming weeks. Therefore, based upon the above observations prices are likely to hold below IDR 15000 & move lower towards IDR 14300 by 29May-31May’24 period.
- The momentum oscillator RSI (14-period) inched up higher during the current week, suggesting short term bounce back, however bearish momentum is still intact, hence prices are likely to trade ahead on a mixed to negative note in the near term.
- On the upside, immediate resistance is positioned at IDR 15000.
- On the downside, immediate support is positioned at IDR 14300.
- Concisely, prices are likely to hold below IDR 15000 & move lower towards IDR 14300 by 29May-31May’24.