FCPO Commentary on 15/09/09

CPO 3rd month Nov futures contract plunge RM75 lower as compare to previous trading sessions to close at RM2070 with a total of 10,468 lots traded in the market. CPO price seems plunge lower during trading session as crude oil and soybean oil were traded weak during trading sessions.

Technically, CPO price plunge lower during last trading hours after long consolidation within range from 2090 to 2115 regions. Based on our technical view, our opinion suggests CPO price seems temporary supported above 61.8% Fibonacci projection levels at RM2070 regions while next support levels seen at RM2044 regions. Its critical support levels for mid term bull rally to remain intact in the market. Traders were advice to only hold long position provided support levels were not violated at any time during trading session while be alert around resistance levels at RM2115 and RM2177 region.