FCPO Commentary on 20/08/09

CPO 3rd month Oct futures contract plunge RM76 points lower as compare to previous trading sessions to close at RM2299 with a total of 20,092 lots traded in the market. CPO price plunge as crude oil and soybean oil electronic trading were traded weak due to news released regarding edible oil depend is sufficient by India.

Technically, CPO seems meet target at 150% Fibonacci projection levels at RM2283 regions. Based on our technical view, our opinion suggests CPO might rebound in the coming trading session with resistance seen at RM2342 and RM2320 regions. However, CPO still seen riding on the correction phase support were seen at RM2250 and RM2175 regions. Traders were advice to hold short position around the resistance levels but be ensure not penetrate critical resistanc
Yeon Sziang: RM2370 regions.