FCPO Commentary on 18/11/08

FCPO January futures contract retrace RM25 lower as compare to previous trading session to close at RM1435 level with a total of 8362 lots traded in the market.

CPO price was traded lower as weak overnight closing for soybean oil and crude oil trading. Technically, CPO price seems holding above support levels at RM1413; 78.6% Fibonacci figure while a falling wedge was seen in the hourly chart. We expect FCPO would be trading upwards in the coming trading session provided it resistance levels at RM1453 and RM1488 were breach by strong buying interest. Traders were advice to hold long position in the coming trading session while being cautious around the support levels at RM1413 and RM1332.