FCPO Commentary on 28/11/08

FCPO February futures contract close at RM1660 ; surge RM62 higher as compare to previous trading session with a total of 5860 lots traded in the market. CPO price was traded higher during trading session due to firm overnight Crude Oil closing above USD50/barrel.

Technically, CPO price was still seen riding on a short term bull rally and manage to breach short resistance levels at RM1655 region. We expect CPO price would be traded higher towards next resistance levels at RM1704 and RM1770 region provided support levels at RM1650 and RM1600 region were not violated. Traders were advice to hold long position once CPO price was standing firm above resistance levels. Provided critical resistance level at RM1723 was violate, we expecting CPO price would be trading towards at least RM1770 level in the coming trading session.