FCPO Commentary on 29/08/09

CPO 3rd month Nov futures contract lose RM11as compare to previous trading sessions to close at RM2346 with a total of 7,488 lots traded in the market. CPO price was traded sideways as crude oil and soybean oil electronic trading were traded quiet as lack of fresh market leads that drives market to react.

Technically, CPO price were traded within a narrow falling wedge during the entire trading sessions but manage to breakout from the upper resistance trend line 20 minutes before market closed. Based on our technical point of view, our opinion suggests CPO price would encounter some selling pressure near resistance levels at RM2360 and RM2374 regions. However, traders were encouraged to hold short position in the coming trading session provided resistance levels were not violated while be
Yeon Sziang: while be cautious around support levels at RM2331 and RM2300 regions.