FCPO Commentary on 20/01/09

FCPO 3rd month April Futures contract rebound RM26 higher to close RM1859 as compare to previous trading session with 5793 lots traded in the market. CPO was traded sideways throughout the entire trading session.

Technically, CPO price traded within RM1865 and RM1835 range during the trading session. We expect CPO price would trade higher in the coming trading as CPO seems rested well above 50% Fibonacci retracement levels which same levels at EMA-80 and EMA100 in the hourly chart. However, CPO price must be able breach resistance levels at RM1900 and RM1950 in order for CPO price to break up from downtrend channel line. Traders were advice to hold long position for CPO trading in the coming trading session.