FCPO Commentary on 11/03/09

FCPO 3rd month May Futures contract rose RM61 higher to close at RM1995 as compare to previous trading session with 6749 lots traded in the market. CPO price was maintain at higher price during the trading session as soybean oil and crude oil electronic continue to surge higher despite of strong overnight closing.

Technically, CPO price seems encounter strong selling pressure around 161.8% Fibonacci projection figure at RM2009 regions after been traded higher for 4 consecutive days. We expect CPO price would retrace mildly towards support levels RM1970 and RM1923 regions. Traders were advice to hold long position in the coming trading session while be alert around resistance levels at RM2027 and RM2050 region.