FCPO Commentary on 25/05/09

FCPO 3rd month August Futures contract rebound RM23 higher to close at RM2522 as compare to previous trading session with 11,942 lots traded in the market. CPO price were traded sideways throughout entire trading session after plunge more than RM100 during previous trading session.

Technically, CPO price seems temporary bottomed around 61.8% Fibonacci projection at RM2488 regions and begin to consolidate within RM2500 and RM2520 range. We expect CPO price might rebound slightly higher in the coming trading session with resistance seen at RM2640 and RM2676 regions. Traders were advice to hold short position around the resistance levels while be alert that support levels were seen at RM2476 and RM2440 regions.