FKLI Commentary on 12/06/09

FKLI futures June contract fall 5 point lower to close at 1083.5 as compare to previous trading session with total 5,306 lots traded in the market. FKLI was mainly traded sideways during entire trading session while waiting fresh market leads for new direction.

Technically, FKLI manage to create new high during 2nd trading session and reach 61.8% Fibonacci projection levels while hourly price chart short FKLI consolidate within 1083.5 to 1088.5 range. Based our technically studies, our opinion suggest that major resistance still maintain at 1094 and 1110 regions while rising wedge upper trend line suggest FKLI would trade lower in the coming trading session. Traders were advice to hold short position in the coming trading session if support levels at 1073 and 1066 fail to hold against the selling pressure. Failure to hold above the support shall indicates further selling signal as rising wedge formation seen as confirm once the support levels were violated.