FCPO Commentary on 07/07/09

FCPO 3rd month Sept Futures contract traded fall RM67 lower to close at RM2002 levels as compare to previous trading session with 9,790 lots traded in the market. CPO plunge as soybean oil and crude oil were traded lower during trading session.

Technically, CPO seems temporary support around RM1980; 150% Fibonacci projection levels. Based on our technical interpretation, our opinion suggests CPO would trade lower in the coming trading session as previous support levels at RM2093 was violated while next support levels seen at RM1980 and RM1930 regions. Traders were suggest to hold short position while be cautious around resistance levels at RM2024 and RM2100 regions.