FKLI Commentary on 07/08/09

FKLI Aug Futures contract surge 8.5 points to settle at 1185.5 levels as compare to previous trading session to with a total of 5,396 lots traded in the market. FKLI was traded strong as Dow Jones manage to recover from major losses during trading overnight trading while regional indices were traded strong upon closing.

Technically, FKLI manage to break previous levels at 1182 and closed at 1185. A short term uptrend channel formed in the hourly chart where 1186 seems touching the resistance trend line. Based on our technical analyst, our opinion suggest FKLI would trade within the uptrend channel provided not to break up above the trend line where resistance seen 1187 while next resistance seen at 1200 regions. Traders were advice to hold short position as we think FKLI would retrace while trading within the range.