- Indonesia RBD Palm Olein spot prices plunged lower on a negative note during the week, while settled at IDR 16078 with a loss of IDR 1242 during the current week.
- Indonesia RBD Palm Olein spot prices have marked ‘Trend-reversal’ from IDR 17357 in its previous week in line with the fall witnessed in global palm prices (BMD CPO) which has turned the sentiments bearish & negated the ‘higher high higher lows’ structure. Further, prices have breached below the ‘rising support trendline’ with a long ‘black Marubozu candlestick’ adding further impetus that the prices have reversed its trend to the downside. Furthermore, as per seasonality wise prices remain under pressure in ‘AMJ’ quarter needs to be factored in the current scenario. Therefore, based upon the above observations prices are likely to hold below IDR 16500 & further slide lower towards IDR 15500 & below in the upcoming week.
- The momentum oscillator RSI (14-period) dropped lower from overbought territory, suggesting downside momentum is strengthening further, hence prices are likely to trade ahead on a negative note in the near term.
- On the upside, immediate resistance is positioned at IDR 16500.
- On the downside, immediate support is positioned at IDR 15400, followed by IDR 15000.
- Concisely, prices are likely to hold below IDR 16500 & further move lower towards IDR 15500 & below by 24Apr-26Apr’24.