FKLI Commentary on 22/07/09

FKLI futures July contract fall 7.5 points lower to close at 1135 as compare to previous trading session with total 7,325 lots traded in the market. FKLI was opened higher but traded lower later as regional indices were traded weak and especially Hang Seng Indices.

Technically, FKLI seems break down from the hourly support trend line after manage to reach new high at 1148.5 levels; 3.5 point higher than 1145 of 223.6% Fibonacci projection levels and formed at Dark Cloud formation in the daily chart. Based on our technical analyst, our opinion suggests FKLI might soon undergo severe correction phase with immediate support levels seen at 1126 and 1111 regions. Traders were advice to hold short position while place tight stop order around resistance levels at 1143 and 1153 regions.