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.