FCPO Commentary on 200709

FCPO 3rd month Oct Futures contract surge RM103 higher to close at RM2123 levels as compare to previous trading session with 7,437 lots traded in the market. CPO price were traded higher despite crude oil and soybean oil were traded lower during electronic trading.

Technically, CPO breached resistance level at RM2070 region and continue to surge high towards next resistance levels at RM2124; previous high. Based on our technical analyst, our opinion suggest that CPO would traded lower in the coming trading session provided resistance levels at RM2128 and RM2170 were not violated. Traders were advice to hold short position while place tight stop order around the resistance levels while be alert around support levels at RM2050 and RM2000 regions.