FCPO Commentary on 02/06/09

FCPO 3rd month August Futures contract surge RM65 to close at RM2625 levels as compare to previous trading session with 8,888 lots traded in the market. CPO price were traded higher throughout entire trading session as soybean oil and crude oil overnight and electronic trading were traded firm and strong which subsequently influence CPO price traded at higher range.

Despite CPO price was traded above 50% Fibonacci rebound levels at RM2574 regions during opening, CPO price was still seen flirting around next resistance levels at RM2630 regions. Technically, CPO price was seen temporary holding above support levels at RM2600 and RM2575 region. However, our technical wave count still suggest traders to hold short position in the coming trading session provided resistance levels at RM2703 and RM2800 were able to resist the buying interest during the trading session.