FCPO Commentary on 13/07/09

FCPO 3rd month Sept Futures contract fall RM37 lower to close at RM2010 levels as compare to previous trading session with 7,908 lots traded in the market. CPO plunge after long consolidation due to soybean oil and crude oil were traded lower during last trading hour.

Technically, CPO price seems topped around 61.8% Fibonacci retrace level at RM2052 regions. Based on our technical interpretation, our opinion suggests CPO price currently riding on a bear rally towards downside possible of new territory of RM1950 and RM1930 regions. Traders were advice to hold short position around resistance levels seen at RM2032 and RM2020 regions. Critical resistance seen at RM2100 and RM2209 regions.