FCPO Commentary on 021109

CPO 3rd month Jan futures contract rose RM19 higher as compare to previous trading sessions to close at RM2208 with a total of 7,464 lots traded in the market. CPO price was traded within wide range as it opened on highest after traded lower due to some profit taking from overnight position.

Technically, CPO complete 423.6% Fibonacci resistance levels at 2208 levels after manage to found support at RM2165 at 78.6% Fibonacci support level in the 5 min price chart to complete 1st wave count. Based on our technical view, our opinion suggests CPO price would retest support levels at RM2161 and RM2148; both 61.8% and 78.6% Fibonacci support levels. However, traders were advice to hold long position in the coming trading session provided support levels were not violated during trading sessions. Resistance levels were seen at RM2220 and RM2250 regions.