TECHNICALS — Palm oil may test support 4,900 ringgit

For more technical analyses, click TECH/C SINGAPORE, Sept 18 (Reuters) — Palm oil may test a support at 4,900 ringgit per metric ton, a break below which could open the way toward the 4,841-4,865 ringgit range. The contract failed to escape from a consolidation range. It also covered a common gap. Its behaviour suggests and extension of the consolidation. A retracement analysis on the rise from 4,808 ringgit reveals a break below the 50% level of 4,929 ringgit. The break is likely to be followed by a drop into the 4,865-4,900 range. A break above 4,957 ringgit could lead to a gain into the 4,993-5,014 ringgit range. On the daily chart, the current consolidation may take the shape of either a flat pattern or a triple-top. A flat could only be confirmed when the contract breaks 5,032 ringgit, while a double-top would become valid when the market breaks 4,814 ringgit. The wave pattern suggests an upside bias, as a wave C from 4,370 ringgit looks too short to complete in terms of length, compared to the preceding wave A from 3,893 ringgit. * Wang Tao is a Reuters market analyst for commodities and energy technicals. The views expressed are his own. His analyses are published exclusivel