FCPO Commentary on 30/03/09

FCPO 3rd month June Futures contract fall RM45 higher to close at RM1990 as compare to previous trading session with 8264 lots traded in the market. A wild trading day for CPO price trading as intraday high and low were challenge few times as crude oil and soybean oil was traded wild as well.

Technically, CPO price fails to breach upper resistance trend line of the rising wedge at RM2035 regions but instead manage to form a minor lower high downtrend line in C PO hourly price chart. We expect strong short signal would appear provided if support levels at RM1950 and RM1920 were violated in the coming trading session. Traders were advice to hold short position in the coming trading session while be extra cautious around resistances levels at RM2035 and RM2050 regions.