CPO Daily Commentary 070110

CPO 3rd month Mac futures contract traded RM20 points higher as compare to previous trading sessions to close at RM2702 with a total of 8,912 lots traded in the market. CPO price manage to surge higher despite soybean oil and crude oil overnight and electronic trading were traded weak. CPO price traded lower before end of session due to minor profit taking activity.
CPO price encounter some selling pressure at 300% Fibonacci resistance level at RM2726 regions before traded lower to form wave 4 which manage to reach 61.8% Fibonacci support levels at RM2694 region. Technically, CPO price is likely to surge higher in the coming trading sessions provided support levels at RM2690 and RM2673 regions were not violated during trading sessions. CPO price would encounter some great selling pressure around resistance level at RM2735 and RM2760 regions; both are 178.6% and 250% Fibonacci resistance levels in the CPO hourly price chart.

FKLI Daily Commentary 070110

FKLI Dec Futures contract surge 6.5 point higher to settle at 1296.5 levels as compare to previous trading session to with a total of 5,300 lots traded in the market. FKLI opened higher out of expectation as Dow Jones was traded weak during overnight trading. FKLI continue to surge higher despite most of the regional indices were retrace before end of session due to some profit taking activity.
FKLI manage to overcome previous resistance levels at 1292 regions and test 250% and 150% Fibonacci resistance level at 1300.5 regions twice in the hourly price chart. Technically, it’s view that FKLI more likely riding wave count 3 instead wave 5; which 123.6% Fibonacci resistance level at 1300, as hourly price chart still haven’t show any sign of divergence. However, FKLI would expect much selling pressure around resistance levels at 1303 and 1312 region in the coming trading sessions. FKLI traded price are more favorable to hold above support at 1278 and 1269.5 in order for Bull rally to remain intact firm with current market situation.