FKLI Commentary on 02/08/09

FKLI July Futures contract rebound 3 points to settle at 1166.5 levels as compare to previous trading session to with a total of 3,148 lots traded in the market. FKLI was traded sideways near the top side but plunge south in 2nd trading session despite Dow Jones futures and regional indices were traded firm during trading sessions.

Technically, FKLI seems rebound 78.6% Fibonacci retrace levels at 1176.5 regions and plunge after break down from the rising wedge. Based on our technical analyst, our opinion suggests FKLI still undergoing correction phase despite manage to rebound unexpectedly high. Correction phase remain intact provided resistance levels at 1178 and 1182 region must not be violated. Traders were advice to hold short position around 1170 and 1172 levels while be extra cautious around support levels at 1161 and 1151 levels.

FCPO Commentary on 02/08/09

CPO 3rd month Oct futures contract close RM44 points higher as compare to previous trading session to close at RM2189 with a total of 12,690 lots traded in the market. CPO price was traded higher in earlier trading session but traded south in 2nd trading session due to strong profit taking activities over long holiday.

Technically, CPO price manage to rebound exit 78.6% Fibonacci resistance levels at RM2225 regions. Based on our technical interpretation, our opinion suggests CPO price would encounter strong resistance levels at RM2225 and RM2262 regions. Traders were advice to hold short position provided resistance levels were not violated while be cautious around support levels at RM2180 and RM2130 levels.