FCPO Commentary on 08/06/09

FCPO 3rd month August Futures contract fall RM49 lower to close at RM2520 levels as compare to previous trading session with 10,734 lots traded in the market. CPO price was traded lower as soybean oil and crude oil electronic trading plunge during trading session.

Technically, CPO price manage to rebound 61.8% Fibonacci retrace levels at RM2600 regions. Based on our technical studies, our opinion suggest that CPO price would continue to trade lower in the coming trading session provided resistance levels at RM2610 and RM2650 must not be violated. Traders were suggest to hold short position in the coming trading session while be cautious around support levels at RM2511 and RM2484 regions.