Trading Tips for the Day - 11 June 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 lower for the 3rd consecutive day. Selling followed the slightly negative MPOB May
data which showed higher stocks and better production. Early pressure came from easier CBT soyoil and China Dalian futures with firmer ringgit adding weight. Losses were held by very high 1- 10 June exports and stronger crude mineral oil. Prices were 2 to 23 lower in the morning and extended losses to 36 lower in the afternoon.

Market is showing better negative sentiment with more concern over the approaching peak production period of August - October. The higher end May stocks point to ample supply especially with production increasing in the coming months. However, prospects for good exports to continue ahead of the festive Ramadan, increased use for biodiesel and the El Nino weather are keeping bullish hopes alive. Meanwhile, the USA supply - demand reports tonight are expected to affirm record global soyabean supplies.

Technical view - prices moved back into the consolidation range of 2250 - 2350.  Trend up ; RSI 59.62 ; support 2275 / 2250 / 2225 / 2150 ; resistance 2330 / 2360 / 2400 / 2450. 

In other news...

🇺🇸 U.S. stocks rose sharply as technology and financial shares pulled ahead and investors embraced encouraging signals about Greece’s financing talks. 
* Dow +236
* S&P +25
* Nasdaq +62

🇺🇸 The U.S.’s AA+ credit rating was affirmed by Standard & Poor’s, which cited the resilience of the economy and the status of the dollar.

€ European stocks were up 1 to 2% and found support on optimism that Greece can find a solution to its debt crisis as Greek Prime Minister Tsipras meets with German Chancellor Merkel and French President Hollande in Brussels today.

📝 The ECB increased the amount of money Greek banks can borrow under an emergency lending program, a Greek bank official said, continuing a lifeline for the country’s banks as tense negotiations between the Greek government and its creditors continue. Meanwhile, S&P downgraded Greece’s credit rating deeper into junk.

🇨🇳 China pared losses after stemmed from a decision by index provider MSCI Inc. not to add Chinese domestic stocks to its widely tracked emerging markets index.

💵 💴 The dollar index is down at a 3-week low on strength in the yen as USD/JPY is down -0.92% at a 2-week low after BOJ Governor Kuroda said "the yen is unlikely to weaken further." Now, ¥/$ 123.02.

📝 The New Zealand dollar slumped to its lowest in almost five years after the nation’s central bank unexpectedly cut interest rates. Reserve Bank Governor Graeme Wheeler has cut rates from 3.5 per cent to 3.25 per cent and warmed of more to come.

⛽ U.S. oil prices rose to a new 2015 high after U.S. data showed stronger-than-expected demand for crude oil and gasoline. U.S. crude-oil stockpiles dropped by 6.8 million barrels in the week ended June 5 to 470.6 million barrels, the U.S. Energy Information Administration said Wednesday.

👑 Gold prices advanced to a one-week high, as some investors bought the metal to gird against a weaker dollar and turbulence in bond markets. Now, $1,185.90.

🌴FCPO ( RM 2291) closed lower for the 3rd consecutive days. Selling followed the slight negative MBOP May data which showed higher stocks and better production. Lower Soyoil & China Dalian added pressure. Market concerns over approaching peak productions period of Aug to Oct. However, prospects better exports continue for the coming Ramadan festival, increased use of biodiesel and formation of El-Nino are keeping demand. Price may consolidate at 2250 to 2360.