FCPO Commentary on 07/04/09

FCPO 3rd month June Futures contract close marginally RM20 lower at RM2145 as compare to previous trading session with 7783 lots traded in the market. CPO price was mainly traded lower during the trading session despite crude oil and soybean oil electronic trading shows firm buying interest in the market.

Technically, CPO traded lower during the trading session after being resisted around 150% and 161.8% Fibonacci projection levels at RM2193 and RM2212 regions. We expect CPO price would trade lower in the coming trading for some correction after surge up for 4 consecutive days. Traders were advice to hold long position around support levels at RM2100 and RM2050 regions provided resistance levels were not violated.