Tuesday, January 27, 2015

Trading Tips for the Day - 27 January 2015

FKLI will likely open very near to yesterday's close, for the first trade today, one can attempt to Long 1-3 points below the opening price.  Try get 5-7 points profit and put a stop 5 points away from your entry point.  Close your position by the end of the day.

As for FCPO, the down trend continued as poor 1-25 January exports dominated sentiment. Market eroded to its lowest level since 23 December. Lower CBT soyoil, China Dalian futures and crude mineral oil provided early selling pressure. Technical sell stops as prices broke below 2200 added weight and prompted long liquidation. Prices were 8 to 28 lower in the morning and eroded to 60 lower in the afternoon.

The very low cargo surveyors' 1-25 January exports pointed to poor demand. Together with weakness in related markets and lack of fresh supporting factors, there was better incentive for selling. However, we are in the low production months of January - February which will see market sensitive to any pick up in demand. Weak ringgit, which lost about 0.4 pct vs USD today, is also positive.

Technical view - prices broke below 2200, pointing to 2150. The oversold situation in the stochastic may see some upward correction. No change in the down trend.  Trend down ; RSI 35.73 ; stochastic oversold ; support 2150 / 2100 / 2080 / 2000 ; resistance 2250 / 2300 / 2355 / 2395 .

No comments:

Post a Comment