- Indonesia RBD Palm Olein spot prices traded higher & closed at IDR 15821 in its prior week, while currently settled at IDR 15889 with a gain of IDR 68 during the current week.
- Indonesia RBD Palm Olein spot prices continued to trade in an ‘upward consolidation’ since last couple of months, suggesting the underlying trend (down) is still intact as prices are moving in a ‘rising channel’. Further, prices precisely tested (61.80% retracement) placed around IDR 16300 level & subsequently turned lower in previous weeks reiterating the intactness of the larger bearish trend & the ongoing recovery is a part of a consolidation phase. Further, prices faced strong rejection from higher levels is an indication that ‘upward momentum’ is losing, hence needs to tread with caution in the near term as any break below the lower line of the ‘rising cannel’ would trigger sharp fall in the prices. Further, the sentiments has turned negative in global palm prices in recent last couple of days is likely to impact negatively on the prices in the near term. Therefore, based upon the above analysis prices are likely to hold below IDR 16300 & move lower towards IDR 15400 & below in the coming couple of weeks.
- The momentum oscillator RSI (14-period) inched lower during the current week, overall prices are likely to trade ahead on a mixed to negative note in the upcoming week.
- On the upside, immediate resistance is positioned at IDR 16025, followed by IDR 16300.
- On the downside, immediate support is positioned at IDR 15300.
- Concisely, prices are likely to hold below IDR 16300 & move lower towards IDR 15400 & below in the coming couple of weeks.