FCPO Commentary on 01/10/09

CPO 3rd month Dec futures contract traded marginally RM2 lower as compare to previous trading sessions to close at RM2103 with a total of 8,305 lots traded in the market. Another sideway trading day for CPO price trading despite crude oil and soybean oil electronic trading were traded actively during trading sessions.

Technically, CPO price were traded sideways throughout entire trading session while support level remain at RM2080 region. CPO hourly and daily price chart appears to have a symmetric triangle with support seen at RM2098 and RM2070 regions. Our opinion suggests CPO price would likely to trade higher in the coming trading sessions provided support levels were not violated during trading sessions. Traders were advice to hold long position in the coming trading session while be alert around resistance levels at RM2130 and RM2188 regions.