FCPO Commentary on 29/10/09

CPO 3rd month Jan futures contract fall RM18 lower as compare to previous trading sessions to close at RM2152 with a total of 11,634 lots traded in the market. CPO price was traded lower despite soybean oil and crude oil was traded within range during trading sessions.

Technically, CPO price continue riding south after manage to rebound 78.6% Fibonacci resistance levels at RM2187 regions. Based on our technical view, our opinion suggests CPO price would continue trading lower in the coming trading session provided resistance levels at RM2171 and RM2190 were not violated during trading sessions. Traders were advice to continue to hold short position for CPO trading while be cautious around support levels at RM2130 and RM2103 regions.