FKLI will likely open lower, 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 rose for the 3rd consecutive day, closing sharply higher. Buying followed strong exports for 1-25 Sep which was highest since Dec 2012 for the same period. Strong gains in CBT soyoil and China Dalian futures added support. Technical buying as prices broke above 2173 magnified gains. Weaker ringgit, which lost about 0.3 pct vs USD today, was also positive. Prices rose 10 to 24 higher in the morning and extended gains to 53 higher in the afternoon.
Demand factors have dominated sentiment this week. Together with reports of lower Sep production vs Aug, palm oil fundamentals are tilting towards positiveness. Prospect of tapering production in coming months and continuation of strong demand will be supportive. However, it is difficult to get away from the bumper US soybean crop and big global oilseed supplies. The GLOBOIL Conference in India this weekend, starting tomorrow should be interesting.
Technical view - prices are continuing their climb to 2250. Trend up ; RSI 64.0 ; parabolic SAR at 2099 ; support 2150 / 2065 / 2000 / 1950 ; resistance 2250 / 2300 / 2345.
No comments:
Post a Comment