Palm-oil play turns slippery

KENCANA AGRI (30 cents) – Still intact

- Holding at support at 30 cents

- Negative divergence between price and RSI

- Break below 30 cents indicate a downside of 26 cents

INDOFOOD AGRI RESOURCES ($2.06) – Top formation

- Support has been established at $2

- Looks poised for a breakdown

- Break below $2 indicates a target level of $1.40

WILMAR INTERNATIONAL ($5.50) – Accelerated decline

- Immediate target of the breakdown is at $4.90

- Downward momentum is pretty strong

- May attempt a rebound soon but it is not sustainable

GOLDEN-AGRI RESOURCES (52 cents) – Still holding

- Immediate moves could actually be higher

- Rebound likely to be temporary

- Resistance at 56 cents

- Break below 52 cents indicate a target of 42 cents

FIRST RESOURCES ($1) – Poised for breakdown

- Support at $1 level

- Resistance is at $1.10

- Break below $1 indicates a target of 80 cents

OLAM INTERNATIONAL ($2.34) – Breaks down

- Resistance at $2.50

- Support at $2.24

- Break below $2.42 indicates a target of $2.08

(Source: TheEdgeSingapore May 24 2010)