FCPO Commentary on 03/03/09

FCPO 3rd month May Futures contract closed RM24 lower at RM1871 as compare to previous trading session with 7813 lots traded in the market. CPO price was seen traded without clear direction despite wild price movement from soybean oil and crude oil electronic trading.

Technically, CPO price seems temporary breach support levels at RM1880. We expect CPO price would trade sideways within range RM1800 and RM1900 in the coming trading session. Traders were advice to hold long position for CPO futures trading as we still expect CPO price would traded higher in the coming trading session provided support levels at RM1830 and RM1720 were not violated. Resistances levels were seen at RM1900 and Rm1945 regions.