FKLI Commentary on 02/08/09

FKLI July Futures contract rebound 3 points to settle at 1166.5 levels as compare to previous trading session to with a total of 3,148 lots traded in the market. FKLI was traded sideways near the top side but plunge south in 2nd trading session despite Dow Jones futures and regional indices were traded firm during trading sessions.

Technically, FKLI seems rebound 78.6% Fibonacci retrace levels at 1176.5 regions and plunge after break down from the rising wedge. Based on our technical analyst, our opinion suggests FKLI still undergoing correction phase despite manage to rebound unexpectedly high. Correction phase remain intact provided resistance levels at 1178 and 1182 region must not be violated. Traders were advice to hold short position around 1170 and 1172 levels while be extra cautious around support levels at 1161 and 1151 levels.