Trading Tips for the Day - 30 April 2015

FKLI will likely open lower today.  For the first trade, 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, market closed lower for the 6th consecutive day following erosion in CBT soyoil and lower China Dalian futures. Rumours of lower 1-30 April exports vs March added weight. Losses were held by the technically oversold situation indicated in the stochastic and light profit taking ahead of the upcoming 4-day weekend. Prices were 23 lower to unchanged in the morning and traded choppily within this range in the afternoon.

Market is looking at lower export numbers for April to be reported by the cargo surveyors tomorrow. With forecast of higher production in April, stocks are likely to increase. However, erosion in the market the past few days had probably built in the larger supplies. Considering the current relatively low prices, market will be sensitive to positive news.

Technical view - negative indicators and downtrend continued. The oversold indication in the stochastic may see some upward correction which will be a sell opportunity.  Trend down ; RSI 34.58 ; stochastic 1915 ; resistance 2100 / 2150 / 2200 / 2250.

As for other news...

 U.S. first quarter GDP showed an increase of 0.2%, a sharp slowdown from the fourth quarter's 2.2% pace and below expectations of 1% growth.

 Following a two-day meeting, the Federal Reserve offered no changes to its zero interest rate policy following weak first-quarter gross domestic product (GDP) data. The Fed's April statement also removed all calendar references and showed no new guidance on the timing of the rate hike.

 U.S. stocks closed lower after data showed a sharp slowdown in the pace of U.S. economic growth in the first quarter, suggesting a deeper early-year slowdown than previously anticipated.

 The dollar tumbled toward its biggest one-day decline against the euro in more than a month, as a lackluster reading on U.S. growth sowed more doubts about the prospect of higher interest rates this year.

€ European equities tumbled as investors reacted to sharp gains in the euro against the dollar and awaited the outcome of a two-day meeting of the U.S. Federal Reserve.

€ The Eurozone Apr business climate indicator unexpectedly rose +0.09 to 0.32, stronger than expectations of -0.03 to 0.20 and the highest in 11 months.

€ Eurozone Mar M3 money supply rose +4.6% y/y, stronger than expectations of +4.3% y/y and the most in 5-3/4 years.

 The German DAX fell as much as 3.1% in afternoon trade, after the euro rallied to $1.11, after weaker than forecast U.S. first quarter economic data.

 U.S. crude settled at the highest level since Dec. 11 after government data showed the first crude stock draw in five months at the U.S. Cushing, Oklahoma hub suggested an oil glut may be starting to ease. Also, EIA reported a smaller-than-expected rise last week in crude inventories throughout the U.S. .

 Gold fell after the U.S. Fed signaled it was taking a meeting-by-meeting approach on when to raise interest rates for the first time since 2006.

 FCPO (RM2,082) closed lower for the 6th consecutive days. Selling in tandem with the Soyoil and China Dalian futures. Rumours on lower 1-30 April exports also added pressure. Indicator remain negative, however, indicator of oversold at stochastic may see some upward correction.

Trading Tips for the Day - 29 April 2015

FKLI will likely open higher today, for the first trade, 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.

In other news...

🇨🇳 Today, markets may be reacting to the news that the People’s Bank of China is preparing a major, unorthodox monetary easing plan to help restructure trillions of dollars of local government debt owed to the countries’ banks.

The plan, known as Pledged Supplementary Lending, will work similarly to the long-term refinancing operations, or LTROs. Under the PBOC’s plan, banks would be able to swap local government bailout bonds for loans. The plan is an acknowledgement of the magnitude of the problem brought on by rampant on- and off-balance-sheet borrowing by local governments to ramp up an investment-led growth cycle for which the country is now paying the price. Data show that the central government has been unable to curtail the borrowing binge, with the debt in the local government sector jumping by 50% since mid-2013.

 U.S. oil prices ended with a modest gain, after a brief spike following the news that Iran seized a Western cargo ship in the Strait of Hormuz.

🇺🇸 U.S. stocks rose as a number of positive quarterly earnings reports helped offset a continued decline in the biotechnology sector.

🇺🇸 The U.S. Apr consumer confidence index from the Conference Board unexpectedly fell -6.2 to 95.2, weaker than expectations of +0.9 to 102.2 and the lowest in 4 months.

🇺🇸 Twitter shares closing down 18.18% as earnings came out earlier than expected after a website reported the results in a tweet.

🇬🇧 UK Q1 GDP rose +0.3% q/q, weaker than expectations of +0.5% q/q and the slowest pace of expansion since Q4 of 2012.

🇨🇳 China's Shanghai Composite Index fell -1.13% after it posted a new 7-year high on concern the surge in stock prices has lifted valuations to unrealistic levels.

🇯🇵 Fitch Ratings cut Japan’s sovereign-credit rating one notch to ‘A’ from ‘A+’ with a stable outlook, saying “the Japanese government did not include sufficient structural fiscal measures in its budget for the fiscal year” beginning this month to offset the effects of the delay in the sales-tax increase.

🇯🇵 Merger between U.S.-based Applied Materials and Tokyo Electron to create one of the world's largest chip-making equipment fell apart due to opposition from U.S. anti-trust regulators. Shares of the latter plummeted 14.8 percent on the news.

 Gold prices notched a three-week high, as investors awaited the result of the Federal Reserve’s two-day monetary policy meeting. Price now, $1,212.

 FCPO (RM2,093) closed to its lowest level since 22 September 2014. Selling was led by bearish sentiment on increasing productions and slow demand. Technical sell stop when price broke below 2,100. Indicator turn negative and price may move to 2,000.

Trading Tips for the Day - 28 April 2015

FKLI will likely open lower today, for the first trade, one can attempt to Short 1-3 points above 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, market eroded to its lowest level in nearly 2 weeks on bearish sentiment and absence of supporting factors. Selling was prompted by uncertainties over the Indonesian biodiesel mandate and no confirmation as yet on the CPO export levy. Increasing production in the coming months and weakness in soyoil and soyabean also weighed on sentiment. The slightly better 1-25 April exports had little effect. A strengthening ringgit, which rose about 0.5 pct vs USD today, will be negative. Prices were 7 to 31 lower in the morning and extended losses to 47 lower in the afternoon.

Slow demand and increasing production in the coming months are weighing on sentiment. April exports are likely to be around March levels, which will result in a big jump in stocks. There is also competition from bumper global soyabean supplies. However, prospects of El Nino and poor Indian monsoon will be supportive in the medium term if they materialize.

Technical view - the break below 2130 is slightly negative. Strong support seen at 2100, which if broken, will carry prices to 2000.  Trend sideways ; RSI 38.14 ; support 2100 / 2080 / 2050 ; resistance 2150 / 2200 / 2250 / 2280.

In other news...

🇺🇸 U.S. stocks closed lower as investors eyed earnings and looked ahead to the beginning of the two-day Federal Reserve meeting on Tuesday.

 The dollar fell against the euro and the yen amid concerns the Federal Reserve’s policy-making committee meeting this week could offer little guidance on the timing of its next interest rate increase.

€ European equities were higher, with investor sentiment boosted by a reshuffle of the team of Greek officials that are negotiating with its creditors. The German DAX finished higher by around 1.9% and Greek stocks posted gains of over 4%.

🇨🇳 The Shanghai Composite jumped 3% to a seven-year peak, while the Hang Seng Index rose to its highest level since December 2007. Investors brushed off weak data released at the market open; industrial profits for the first three months of the year fell 2.7% on year, the Statistics Bureau said.

🇯🇵 When Japanese Prime Minister meets with President Obama this week, the most important item on the agenda is the negotiation between Japan and the U.S. for a new trade deal that would set the stage for an agreement in the 12-nation Trans-Pacific Partnership.

 USD/JPY is up +0.28% as the yen weakened after Fitch Ratings cut Japan's sovereign-credit rating to 'A' from 'A+' with a stable outlook.

 Oil prices wavered, then settled lower, amid uncertainty about the strength of the recent price rally. Analysts say the market remains oversupplied and prices could be due for a pullback.

 Gold prices notched their biggest gain (>2%) in more than three months after a summit between Greece and its eurozone creditors concluded with no progress made toward a solution to the country’s debt problems. Also, some dealers scrambled to cover short positions and the May options expiry triggered more buying.

 FCPO eroded to its lowest level in 2 weeks. Selling due to the uncertainty over Indonesia biodiesel mandate, increasing productions in the coming month, and lower Soyoil price. The break below 2130 is slightly negative.

Trading Tips for the Day - 27 April 2015

FKLI will likely open a few points higher today.  For the first trade, 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.

In other news...

€ European equities finished slightly higher on Friday as investors reacted to a slow of corporate earnings and the German Apr IFO business confidence rose. The German Apr IFO business climate index rose +0.7 to 108.6, stronger than expectations of +0.5 to 108.4 and the highest in 10 months. Athens composite index finished more than 3% higher on the day. The Greek 10-year bond yield fell to a 1-week low of 11.84% on signs of progress in Greek debt talks, although the head of the Eurozone finance ministers said there were still "wide differences" between Greece and its creditors. U.S. stocks traded mostly higher on Friday on carry-over support from a rally in European stocks, rally in technology stocks and overall decent company earning results as 76% of reporting S&P companies have beaten earning estimates. The possibility of more initial public offerings (IPOs) dampened China's Shanghai Composite on the final trading day of the week. Towards the end of the afternoon session, the Shanghai bourse trimmed losses from 1.6% to eventually finish Friday 0.5% lower. Oil prices diverged on Friday, with Brent rising to a near 4½ month high and WTI crude falling as data showed the drop in U.S. oil rigs quickened this week. Main bearish factor for US crude prices continues to be the supply glut as Wednesday’s EIA data showed U.S crude stockpiles at a record high of 489 million bbl and crude storage at Cushing, the delivery point of WTI futures, at 62.2 million bbl, which is 88% of total capacity. Jun gold tumbled to 5-week lows after a rally in stocks undercut the safe-haven appeal of precious metals. Gold now at $1,181.50. FCPO closed slightly lower after trading sideway. Strong gain in Soyoil and mineral oil unable to hold the CPO gain. This week 1-25 Apr and 1-30 April exports data will give investors incentive for better buying.

Trading Tips for the Day - 24 Apri 2015

FKLI will likely open higher today.  For the first trade, 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, market closed mixed yesterday in an erratic trading session. Nearbys were slightly lower while orwards were slightly higher. Prices did more than a full circle with better support late in the session. Market was lower most of the session following easier CBT soyoil and higher than expected 1-20 April production reported by MPOA. However, a relatively steady China Dalian futures and weaker ringgit held losses. Prices were 1 higher to 19 lower in the morning and 24 lower to 3 higher in the afternoon.

Sentiment is mixed at present. Increasing production in the coming months and weakness in CBT soyabean and soyoil are negative. Slower Chinese economic growth is also negative but will be balanced by stimulus measures. The export levy on CPO by Indonesia, when implemented, and the prospect of increasing demand from India and China are positive.

Technical view - prices continued to hold the sideway trading range of 2100 - 2200. Trend sideways ; RSI 46.36 ; parabolic SAR at 2196 ; support 2130 / 2100 / 2080 / 2050 ; resistance 2205 / 2250 / 2280.

Trading Tips for the Day - 23 April 2015

FKLI will likely open higher today, for the first trade, 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, market eased yesterday in an erratic trading session. Selling was led by profit taking in the absence of fresh factors. Stronger ringgit, which gained about 0.6 pct vs USD, and lower crude mineral oil undermined sentiment. Losses were held by prospects of better demand and forecast of below average Indian monsoon in 2015. Prices were 10 to 34 lower in the morning and were 28 to 7 lower in the afternoon on better support towards close.

Generally, the short term outlook is positive. Exports are improving while current stocks are relatively low. The levy of USD50 per tonne on CPO exports by Indonesia is expected to start in May which will likely draw more demand to Malaysia. India imports are expected to increase with poor monsoon, while Chinese demand will be boosted by the economic stimulus like reducing bank reserve requirements, etc.

Technical view - prices pull back from recent gains to stay within the 2100 - 2200 trading range.  Trend sideways ; RSI 46.71 ; parabolic SAR at 2200 ; support 2130 / 2100 / 2080 / 2050 ; resistance 2205 / 2250 / 2280.

As for other news...

🇺🇸 U.S. stocks closed about 0.5% higher, ending a day of choppy trade as investors weighed mixed earnings and signs of strength in the housing market. March existing home sales increase +6.1% to 1-1/2 year high.
* US weekly Unemployment claims expected to show a -7,000 decline to 287,000.
* US April manufacturing PMI index expected unchanged from March at 55.7.
* March New home sales expected to fall back from Feb's 7-year high, show a decline of -4.5% to 515,000.

€ European stocks closed mixed as disappointing earnings reports as Kering SA fell over 5% after its Gucci brand reported a larger-than-expected drop in revenue and Heineken NV dropped over 2% after the world's third-biggest brewer reported a smaller-than-expected increase in sales.

 The ECB on Wednesday raised its Emergence Lending Assistance (ELA) to the Greek central bank by another 1.5 billion euros just from last week to 75.5 billion euros. That suggests that Greek banks needed another 1.5 billion worth of new liquidity just in the past week, illustrating the extent of deposit withdrawals from Greek banks and general capital flight from Greece.

🇨🇳 China's Shanghai Stock Index rose to a fresh 7-year high on speculation that any decline in Chinese growth will be met with additional stimulus measures from the government.

🇯🇵 Japan's Nikkei 225 index reclaimed the psychologically-important 20,000 mark to clinch a new 15-year late Wednesday, marking its first successful attempt since April 10.

🇯🇵 The Japan Mar trade balance swung to a +229.3 billion yen surplus from a downward revised -425.0 billion yen deficit in Feb, a larger surplus than expectations of 44.6 billion yen and the biggest in 3-1/2 years.

 Crude oil lower as EIA reported that U.S. crude stockpiles rose by 5.3 million barrels last week, higher than the 2.9-million-barrel build expected by analysts in a Reuters survey, to reach a record 489 million barrels.

 FCPO eased after an erratic trading. Losses due to lower crude mineral oil and strong Ringgit. Generally, short term outlook is positive. Exports are improving while current stocks are relatively low. India imports are expected to increase after poor monsoon.

 Ringgit Malaysia strengthen against US dollar as renewed buying interest from the local unit after CPI data meet expectations.

 Malaysia's March CPI up 0.9% on year, meeting expectations, mainly due costlier alcoholic beverages, healthcare, restaurants and food, official data released Wednesday showed.

 Moody's has assigned definitive A3 senior unsecured ratings to the U.S. Dollar trust certificates (Sukuk) issued by Malaysia Sovereign Sukuk Berhad.

Trading Tips for the Day - 22 April 2015

FKLI will likely open a little lower today.  For the first trade, one can attempt to Short 1-3 points above 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, market rose further yesterday following continued strong gains in China Dalian olein and soyoil futures. Firmer CBT soyoil and crude mineral oil were also supportive. Gains were however, checked by a quiet cash market and higher 1-20 April production estimates by Southern POMA.

Prices rose 5 to 37 higher in the morning and 41 to 14 higher in the afternoon. Strength in China Dalian olein futures, tied to China lowering the bank reserve requirement ratio to help the economy, continued to provide incentive for support. There is prospect of better Chinese demand as their palm oil stocks were estimated to be low. However, increasing production in the coming months and competition from South American soyoil may cap gains.

Technical view - prices are still holding within the 2100 - 2200 trading range.  trend sideways ; RSI 48.94 ; parabolic SAR at 2205 ; support 2130 / 2100 / 2080 / 2050 ; resistance 2205 / 2250 / 2280.

In other news...

🇩🇪 The German Apr ZEW survey of expectations for economic growth unexpectedly fell -1.5 to 53.3, weaker than expectations of a +0.5 point increase to 55.3.

€ European stocks upside gain capped after the German Apr ZEW investor confidence unexpectedly declined as Greek default concerns weighed on sentiment.

 The Greek 10-year yield bond yield rose to a 2-1/3 year high of 13.56% on Greek funding concerns after the government in Athens ordered local administrations to move funds to Greece's central bank as it looks for funds to pay salaries that are due at the end of the month.

🇺🇸 Dow, S&P close lower on earnings; biotech boosts Nasdaq for 2nd day of gains. Investors reacted to individual earnings reports of major companies.

 Asian stocks closed mostly higher as the action by the PBOC to lower reserve-requirement ratios for banks outweighed efforts by Chinese regulators to curb speculative trading.

🇯🇵 Today, Japan will release its March provisional trade statistics. Japan recorded a trade deficit of 425 billion yen in February after registering a deficit of Y1.18 trillion in January. The country is forecast to have a deficit of Y397.6 billion in March.

🇰🇷 South Korea’s prime minister offered to resign over a bribery accusation -- after two months in office -- marking a fresh setback for a government faced with falling public support.

 Oil prices fell as a Saudi-led coalition announced the end of its nearly monthlong military operation in Yemen, lowering concerns violence in the Middle East could affect oil production.

 Gold prices rose, as investors grew concerned about Greece’s ability to pay its creditors and the country’s future in the eurozone. Gold now at $1,201 (-1.5).

 FCPO rose further (RM2,173) after continue strong gain at China Dalian futures and Soyoil. Gain was however checked by a quiet Cash market and higher 1-20 April production estimates by Southern POMA.

Trading Tips for the Day - 21 April 2015

FKLI will likely open higher today, for the first trade, 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 other news...

U.S. stocks bounced back from Friday’s steep declines, lifted by upbeat earnings news and an announcement of more stimulus from China. * Dow +208 * S&P +19 * Nasdaq +62 € European stocks were higher after China cut the cut the reserve-requirement ratio for banks the second time this year. China's Shanghai Stock index falling back from a 7-year high after Chinese regulators on Friday clamped down on margin trading for equity purchases and increased the supply of shares available for short selling. Meanwhile, a move from China’s central bank to free up about $200 billion for banks to lend drew investor attention across the globe. The People’s Bank of China on Sunday announced it would cut the reserve requirement by one percentage point, its second reduction in less than a quarter and the biggest since December 2008. Wednesday, China April HSBC flash manufacturing PMI, expected -0.2 to 49.4 after March's 1.1 to 49.6. Hang Seng index plummeted 2%, widening losses throughout the day to post the bourse's biggest loss in four months. Benchmark West Texas Intermediate oil ended higher ($56.38, +1.2%) after data showing a partial draw in stockpiles at the delivery point for U.S. crude helped steady a market weighed earlier by near record highs in Saudi production. Also, China’s news helped oil extend its gains from last week, as investors bet that the lower bank reserves would free up funds for loans and buoy economic growth. Gold prices slid after European Central Bank President Mario Draghi reaffirmed that debt-laden Greece won’t be forced out of the eurozone. FCPO closed higher after strong gain from China Dalian Futures. Higher CBT Soyoil, higher crude mineral oil and positive 1-20 April exports added support. However, higher production in the coming months capped gain. Market expected move in sideway.

Trading Tips for the Day - 20 April 2015

FKLI will open lower today with Dow Jones closing more than 250 points.  For the first trade today, one can attempt to Short 1-3 points above 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, erratic market on Friday, trading on either sides of the previous day's close. Market was traded lower early before recovering late in the afternoon. Early selling followed the stronger ringgit, which gained about 0.8 pct vs USD today, and the slightly easier CBT soyoil and China Dalian futures.

Prospects of better demand on expectations of smaller exports from Indonesia encouraged support on dips. Prices were 6 higher to 18 lower in the morning and rose to 13 higher in the afternoon in choppy trading.

There were no new factors. Ideas that market will hold above 2100 encouraged some bottom picking. Lingering support remains on the Indonesian export levy on CPO which is awaiting presidential approval as it may draw more demand to Malaysia. However, higher production in the coming months and bumper South American soyabean crop are keeping sentiment generally more negative.

Technical view - prices turned sideways. Key support level is 2100 and resistance at 2200.  Trend down ; RSI 44.31 ; support 2100 / 2080 / 2050 / 2000 ; resistance 2180 / 2205 / 2250 / 2280.

As for other news...

🇨🇳 On Sunday, The reserve-requirement ratio will be lowered 1% point effective April 20, the People’s Bank of China said on its website Sunday, the second reduction this year and the largest since November 2008. The level will decline to 18.5%, still high by global standards, based on previous statements. The cut will allow banks to boost lending, unleashing about 1.2 trillion yuan ($194 billion), and may spur another leg higher in the nation’s booming stock market.

🇨🇳 On Friday, China stock futures fell more than 5% in after-hours trading after China's Securities Regulatory Commission said it will ban margin financing for over-the-counter stock trading and expand short-selling.

Chinese government had asked investors to "take froth out of the market". China also allowed fund managers to lend shares for short-selling on Friday and will expand the number of stocks investors can short sell, in an effort to raise the supply of securities in the market, according to Reuters.

🇺🇸 U.S. stocks traded sharply lower on Friday, following a global decline in equities on renewed Greece concerns and new Chinese trading regulations, amid U.S. inflation and consumer data.
* Dow - 279
* S&P -23
* Nasdaq -75

🇺🇸 The U.S. Mar CPI report of +0.2% m/m and -0.1% y/y was weaker than expectations of +0.3% m/m and unch y/y. The -0.1% y/y decline matching Jan’s 5-1/3 year low. Mar core CPI rose +0.2% m/m, right on expectations, and rose +1.8% y/y, higher than expectations of +1.7%

€ European stocks were down at a 3-week low, The main bearish factor China government new regulations and tensions over Greece debt negotiations. Another negative for stocks was weakness in technology stocks with AMD down over 12% in pre-market trading after it reported a larger-than-expected loss in Q1.

🇯🇵 Japan's Nikkei index fell -1.17% (19,652) to a 1-1/2 week low as exporters declined after the yen rallied to a 3-week high against the dollar.

🇨🇳 Shanghai bourse closed up 2.2% (4,288) to rewrite its highest level since March 2008 as bets of further stimulus continued to buoy risk appetite.

 Gold closed higher on Friday after data showing U.S. consumer prices rose in March tempered speculation the Federal Reserve will delay its first interest rate rise in nearly a decade.

 FCPO traded lower early before recovering late in the afternoon. Early selling followed the strong selling, and the slightly lower CBT Soyoil and China Dalian. There were no new factors. Investors waiting for the Indonesia President on export duty decision. Price turn sideway, key support at 2,100 and resistance at 2,200.

Trading Tips for the Day - 17 April 2015

FKLI will likely open lower today, for the first trade, one can attempt to Short 1-3 points above 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, market closed slightly lower yesterday after trading on either sides of the previous day's close. There was good support in the morning following strong gains in CBT soyoil, China Dalian futures and crude mineral oil. Gains were however, capped by the ringgit which rose about 1.3 pct vs USD. Reports of higher production by Southern POMA for 1-15 April prompted better selling in the afternoon. Prices were 26 higher to 2 lower in the morning and 13 higher to 14 lower in the afternoon.

Market is beginning to discount the Indonesian export levy on CPO which is expected to get Presidential approval. Export demand will be closely followed in the coming weeks. Meanwhile, forecast by market analysts, Mr Thomas Mielke and Mr James Fry, seem to indicate a price range of RM2100 - 2300 through June.

Technical view - the lower close turned indicators neutral. Ability of prices to break above 2150 may carry prices to 2200 while strong support is seen at 2100.  Trend down ; RSI 43.95 ; support 2100 / 2080 / 2050 / 2000 ; resistance 2180 / 2205 / 2250 / 2280.

In other news...

€ European stocks were down on Greek default concerns after the 10-year Greek bond yield jumped to a 2-year high of 13.044% when German Finance Minister Schaeuble ruled out further concessions to Greece.

€ Eurozone Mar new car registrations rose +10.6% y/y to 1.604 million units, the largest increase in 15 months.

🇺🇸 U.S. indices settled marginally lower after a stream of positive earnings reports and initial public offerings failed to lift major benchmarks for a third straight session.

🇺🇸 U.S. growth was report on initial jobless claims, which rose 12,000 to a seasonally adjusted 294,000 last week. Economists had expected a slight decrease to 280,000 claims.

 The dollar fell broadly as disappointing U.S. employment data reinforced doubts about the Federal Reserve’s willingness to raise interest rates.

🇨🇳 China's Shanghai Composite Index climbed to a fresh 7-year high on speculation the government will boost stimulus measures to revive economic growth.

🇨🇳 China Mar foreign direct investment rose +2.2% y/y or 76.38 billion yuan, stronger than expectations of +1.3% y/y.

 U.S. crude settled up 32 cents at $56.71 per barrel on news that a tribal group made up of former Al Qaeda militants took control of a major southern oil terminal in Yemen after military forces protecting it withdrew from the site. Benchmark contracts fell earlier on Thursday after OPEC reported its oil output surged in March, also Saudi Mar oil production rose +658,600 barrels a day to 10.294 million bpd.

 Gold prices reversed gains, after regional U.S. data showed stronger-than-expected business activity this month.

 FCPO closed slightly lower today. There were good support in the morning after gain in China Dalian futures, Soyoil and Crude mineral oil. However, strong Ringgit and higher production reported by Southern POMA limit the gain. Meanwhile, market analyst, Thomas Mielke and James Fry, seem to indicate a price range of RM2,100 to RM2,300 through June.

Trading Tips for the Day - 16 April 2015

FKLI will likely open higher today, for the first trade, 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, market extended gains yesterday on continuing positive sentiment towards the Indonesian export levy on CPO. Adding support was higher CBT soyoil and strong gains in China Dalian futures as well as crude mineral oil. The 1-15 April exports reported by cargo surveyors were slightly disappointing and helped to check gains. Prices were 13 to 30 higher in the morning and shed some gains in the afternoon.

Market is still getting support from the Indonesian export levy which is awaiting Presidential approval. The USD50 per tonne is expected to help increase use for biodiesel and reduce exports. Prospects of increased demand from India and China will add to the positive sentiment.

However, exports are not picking up yet while production is likely to improve in the coming months. These may limit the upside.

Technical view - the break above 2160 is slightly positive. Ability of prices to hold above 2150 may see prices rise to 2200.  Trend down ; RSI 45.87 ; support 2100 / 2080 / 2050 / 2000 ; resistance 2205 / 2250 / 2280.

In other news...

U.S. oil closed up 5.8% at its highest level of the year after EIA’s weekly inventory update. It showed U.S. production down 2% from the prior week, at less than 9.4 million barrels per day. Also, Iran joined Libya in calling for cuts in OPEC crude production. 
* WTI crude oil $56.39 (+3.10) 
* Brent Crude $60.00 (+1.60)

🇺🇸 U.S. stocks closed higher as oil hit highs for the year and investors continued to digest financial earnings and economic reports. Energy stocks in the S&P 500 rose 2.3%.

🇺🇸 U.S. industrial output fell in March and posted the first quarterly decline since recession ended, signs a retrenching domestic oil industry and stronger dollar are limiting production.

€ European stocks were up and the 10-year German bund yield tumbled to a record low 0.124% on speculation ECB President Draghi will maintain his dovish view of monetary policy when he speaks after today's ECB meeting.

 Standard & Poor's on Wednesday cut Greece's credit rating from "CCC+" from "B-" with a negative outlook, saying it expected Greece's debt to be "unsustainable."

🇨🇳 Shanghai Index lower due to: 
* China Q1 GDP rose +7.0% y/y, right on expectations but the slowest pace of growth in 6 years.
* China Mar industrial production rose +5.6% y/y, weaker than expectations of +7.0% y/y and the weakest pace of growth in 6-1/3 years.
* China Mar retail sales rose +10.2% y/y, weaker than expectations of +10.9% y/y and the slowest pace of growth in 9 years.

🇯🇵 Japan has overtaken China as the largest foreign owner of U.S. government bonds, for the first time since the 2008 financial crisis.

 Gold prices reversed losses, buoyed by fresh concerns over financial problems facing Greece. Spot gold, lower initially, closed up $8.70 at $1,201.3 an ounce.

 FCPO extended gain as positive sentiment toward Indonesia export levy on CPO while waiting for President approval. However, exports were not picking up yet while production is likely to improve. These may limit the upside.

Trading Tips for the Day - 15 April 2015

FKLI will likely open a little higher today, for the first trade, 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, strong buying late in the session closed market higher yesterday in an actively traded session. Buying followed news that Indonesian Finance Minister will sign a regulation for a USD50 per tonne levy on CPO exports. Market eroded gradually lower most of the session on bearish sentiment and absence of fresh factors. Rumours of about unchanged 1-15 April exports vs a month ago had little effect. Prices eroded from 1 higher to 33 lower in the morning and were mostly lower in the afternoon before recovering in the last hour.

Looks like the Indonesian export levy, which still needs the President's approval, will be the primary factor in the coming days. This may curb Indonesian exports and draw more demand to Malaysia, which is positive. However, increasing production in the coming months and record high South American soyabean crop are negative. Export demand will be closely followed in the coming weeks.

Technical view - prices held the 2100 support. However, indicators remain negative. Prices may turn sideways in a 2090 - 2160 range in the coming days.  Trend down ; RSI 43.92 ; stochastic turned up from oversold ; support 2100 / 2080 / 2050 / 2000 ; resistance 2165 / 2205 / 2250 / 2280.

Other news...

The International Monetary Fund left its projection for global growth in 2015 unchanged from three months ago at 3.5%, according to its World Economic Outlook released Tuesday. Underneath the stable forecast, however, the IMF depicts a global economy being reshaped by swings in currency markets and the drop in oil prices. U.S. stocks closed mixed as investors digested the first of the major earnings reports and moderate economic data. JPMorgan reported earnings and revenue beat expectations and share price gain >2% to trade above 15-year highs. Energy sectors higher after crude oil gained nearly 3%. € European shares were lower Tuesday, amid investor caution over a European Central Bank (ECB) meeting this week and the official start of the first-quarter earnings season. Alcatel-Lucent SA jumped over 11% after Nokia said it is in advanced talks to buy the company. The yield on the 10-year German bond fell to an all-time low of 0.134% after Moody's Investors Service warned that the ECB could run out of eligible bonds to buy from some governments around the end of the year. Today, investors await China's first-quarter gross domestic product (GDP). Reuters poll said " China's GDP could hit a multi-year low of 7%, increasing pressure on Beijing provide stimulus. Scheduled for release alongside the GDP data are figures for factory output, fixed asset investment and retail sales for March. China Mar new yuan loans rose 1.180 trillion yuan, more than expectations of 1.040 trillion yuan. Hang Seng index is down 1.6%, seemingly on the back of profit-taking, following a blistering run-up of nearly 13% over the past 8 sessions. The dollar index is slightly lower as USD/JPY fell -0.37% to a 1-week low after a consultant to Japanese Prime Minister Abe said that an exchange rate of 105 yen per dollar would be "appropriate," which reduces expectations for additional easing from the BOJ. Crude oil futures rose on signs of falling U.S. oil production, weakness in the dollar and tensions in the Middle East, particularly Yemen. Moreover, technical buying added support. U.S. crude settled $1.38, or 2.7%, higher at $53.29, surging above its 100-day moving average of $52.96. Gold falls on firmer dollar as U.S. rate hike bets intact. Citigroup said it has cut its 2015 average gold price estimate to $1,190 from $1,220, citing "fundamental tightness being outweighed by continued U.S. dollar strength and macro investment headwinds". FCPO closed higher (RM2,148) after Indonesia Finance Minister will sign a regulation for a USD50 per tonne levy on CPO exports. This may curb Indonesia exports and draw more demand to Malaysia. However, rumors about unchanged 1-15 April exports, increasing production in the coming month and record high South American soybean crop negative to market sentiment.

Trading Tips for the Day - 14 Apill 2015

FKLI will likely open lower today, for the first trade, one can attempt to Short 1-3 points above 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.

Trading Tips for the Day - 13 April 2015

FKLI will likely open higher today, for the first trade, 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, market closed higher Friday after eroding to its lowest level, since 1st Dec, in the early afternoon. Late support was tied to short covering and weekend profit taking. Market was supported in the morning on ideas that it was due to some pull back from sharp drop the past 3 days. Bearish MPOB March data resulted in a sell down in the early afternoon. Prices were 1 lower to 19 higher in the morning and dipped to 28 lower in the afternoon before recovering. Weaker ringgit gave some support.

The MPOB data was a big surprise on production. The high numbers point to stocks increasing in the coming months, as production usually improves, unless demand picks up. The 1-10 April exports were slightly below average and guesstimates. Competition from bumper South American soyabean crop will also weigh on the market. However, the likelihood of Indonesia imposing export levy on CPO to boost use for biodiesel is positive.

Technical view - indicators continue negative with prices testing the 2100 support. An effective break will carry prices to 2050.  Trend down ; RSI 40.65 ; stochastic oversold ; support 2100 / 2080 / 2050 / 2000 ; resistance 2165 / 2205 / 2250 / 2280.

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Trading Tips for the Day - 10 April 2015

FKLI will likely open higher today, for the first trade, 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, market eroded sharply for the 3rd consecutive day to its lowest level since 30 January. Selling was tied to technical weakness and lack of supporting factors. Pressure came from sharply higher MPOA production estimates for March vs the Bloomberg and Reuters polls. Lower China Dalian futures and e-CBt soyoil also weighed on sentiment. Prices eroded 6 to 35 lower in the morning and extended losses to 48 lower in the afternoon.

The almost 10 pct higher March production estimated by MPOA vs the Bloomberg and Reuters polls points to higher stocks in the MPOB data tomorrow. Stocks may continue to increase in the coming months unless exports improve from the slow pace these past 3 months. The 1-10 April exports were rumoured to be higher vs a month ago but considered to be average. Meanwhile, the absence of news on the proposed Indonesian CPO export levy probably resulted in some long liquidation pressure today.

Technical view - the break below 2150 turned indicators negative. Prices may move to 2100. Trend down ; RSI 39.41 ; parabolic triggered a "sell" signal at 2143 ; 5-day MA intersected 20-day MA from above ; support 2100 / 2080 / 2050 ; resistance 2165 / 2205 / 2250 / 2280 .

Trading tips for the Day - 9 April 2015

FKLI will likely open a little higher today, for the first trade, 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, market closed sharply lower yesterday, giving back strong gains of the last few days. Selling was prompted by the lack of news on the export levy that Indonesia is proposing to introduce. Easier CBT soyoil and China Dalian futures also undermined sentiment. Technical sell stops as prices broke below 2190 added weight. Prices were 3 to 22 lower in the morning and dropped further to 42 lower in the afternoon.

The absence of fresh factors may see further pull back towards the 2150 level. Generally, there are no changes in fundamentals. End March stocks were estimated to be about unchanged against a month ago. Production is expected to increase gradually in the coming months. There is concern of some slow down in exports in April due to the export tax and GST. South America is on track to produce record high soyabean crop.

Technical view - the big pull back turned indicators neutral. Prices may move into a wide trading range of 2250 - 2150.  Trend up ; RSI 44.33 ; parabolic SAR at 2143 ; support 2145 / 2100 / 2080 / 2050 ; resistance 2205 / 2250 / 2280 / 2320.

Trading Tips for the Day - 8 Apri 2015

FKLI will likely open very near to the opening price today.  For the first trade, one can attempt to Short 1-3 points above 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, uncertainty over the implementation of the proposed CPO levy by Indonesia resulted in some pull back from strong gains yesterday. Lower crude mineral oil in Asian trade also undermined sentiment. Higher CBT soyoil and China Dalian futures were supportive but was secondary. Prices were 1 to 13 lower in the morning and extended losses to 31 lower in the afternoon.

Market continued to trade on the issue of CPO levy by Indonesia which, if confirmed, may result in smaller exports from Indonesia. The existing low stocks, as estimated by Bloomberg and Reuters polls, give good prospect for a price rally should demand pick up. However, increasing production in the coming months and competition from South American soyoil keep fundamentals generally more negative.  Trend up ; RSI 49.44 ; support 2190 / 2145 / 2100 / 2080 / 2050 ; resistance 2250 / 2280 / 2320 / 2400.

European stocks were up as the market rallies on easier Fed expectations post-payroll report of +126,000 and on Greek assurances that Thursday's 500 million euro IMF payment will be made.

U.S. stocks gave back gains to end slightly lower as investors paused ahead of first-quarter corporate earnings.

The Feb U.S. JOLTS job openings report showed a sharp increase of +168,000 to a new 14-year high.

Today, minutes from the March 17-18 FOMC meeting may provide some color on the Fed’s criteria for when it will raise interest rates.

 The dollar rose against the euro and the yen as stronger-than-expected JOLTS job openings. Investors are re-establishing their bets on a rising dollar as the U.S. was still in better shape than other major economies.

 The Australian central bank today kept its overnight cash target rate unchanged at 2.25% for a second month but said it could ease at future policy meetings.

 FedEx said it agreed to buy Dutch package-delivery company TNT Express for $4.8 billion in an all-cash deal.

Japan's benchmark Nikkei 225 index touched a near two-week high, drawing support from a positive U.S. lead, with energy and financial counters leading advances.

 U.S. Crude oil price jumped to a 2015 high on fresh signs that the nation’s production is on the brink of a decline.

 EIA report expected to show a further increase in U.S. crude oil inventories. The market consensus is +3.0 million bbl increase in crude oil inventories.

 Gold prices fell from a seven-week high as a firmer dollar sapped interest among foreign buyers while others chose to lock in recent gains. Now, $1,209.5 (+0.18).

 FCPO closed lower over uncertainty over the implementation of the proposed CPO levy by Indonesia. Higher CBT Soyoil and China Dalian future limit the losses. The existing low stocks, as estimated by Bloomberg and Reuters polls, give good prospect for a price rally should demand pick up.

Trading Tips for the Day - 7 April 2015

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

As for FCPO, market rose for the 3rd consecutive day to its highest level since 13 March. Buying was encouraged by prospects of Indonesia imposing export levy on CPO which may shift more demand to Malaysia. Strong gains in crude mineral oil also underpinned sentiment. Technical buy stops as prices broke above 2220 and short covering added support. Gains were capped by stronger ringgit, which rose about 1 pct vs USD. Prices gapped 6 to 20 higher in the morning and extended gains to 59 higher in the afternoon.

It was all bullish sentiment on prospects of better demand. There were reports of low palm oil stocks in China and forecast for increased demand from India. However, there is not much change in current fundamentals. The record South American soyabean crop may check the upside.

Technical view - prices broke up from consolidation. An effective break above 2250 may carry prices to 2300.  Trend up ; RSI 53.04 ; macd intersected trigger line from below ; 5-day MA intersected 20-day MA from below ; support 2190 / 2145 / 2100 / 2080 / 2050 ; resistance 2280 / 2320 / 2400.

Trading Tips for the Day - 6 April 2015

FKLI will likely open a little higher today, for the first trade, 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.

Trading Tips for the Day - 3 April 2015

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

As for FCPO, market closed higher yesterday after trading within the previous day's range. Support followed gains in CBT soyoil and firmer China Dalian futures. Strong gains in crude mineral oil also underpinned  sentiment. Gains were however checked by firmer ringgit, which gained about 0.8 pct vs USD today. Prices were 4 lower to 13 higher in the morning and held steady to firmer in the afternoon.

Generally, market is continuing sideways due to absence of new factors. The better March exports were balanced by the sharp increase in Southern POMA production. Bigger US soyabean plantings and bumper South American crop currently being harvested were discounted as already expected.

Technical view - sideway market continued. Prices remain within the 2120 - 2220 range.  Trend sideways ; RSI 43.45 ; parabolic SAR at 2189 ; support 2130 / 2100 / 2080 / 2050 ; resistance 2230 / 2280 / 2320 / 2400.

Trading Tips for the Day - 2 April 2015

FKLI will likely open lower today, for the first trade, one can attempt to Short 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.

FKLI will likely open lower today, for the first trade, 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.