Trading Tips for the Day - 16 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, slow session yesterday, lacking fresh incentives. Market closed little changed after trading on either sides of the previous day's close. Easier CBT soyoil and China Dalian RBD olein prompted
selling. Ideas that the market was due for a rebound after dropping the past 3 days, encouraged support. Weaker ringgit and strong gains in crude mineral oil were positive but largely ignored.  Prices were 3 higher to 11 lower in the morning and 12 higher to 3 lower in the afternoon.

The higher end May stocks and the approaching peak production period in the coming months continue to weigh on sentiment. Prospects of adverse weather, amid forecast of El Nino, increased use for biodiesel and better Ramadan demand have not made their mark yet. Meanwhile, the USDA supply - demand reports were slightly supportive for soyabean with lower carry out stocks.

Technical view - prices remain in a sideway range of 2250 - 2350.  trend up ; RSI 59.76 ; parabolic SAR at 2253 ; support 2275 / 2250 / 2225 / 2150 ; resistance 2330 / 2360 / 2400 / 2450.  

In other news...

 The International Monetary Fund said it was halting its bailout talks with Greece in a stark signal of its exasperation about a lack of progress toward a deal needed to avert a Greek default.

🇺🇸 U.S. stocks gained after data showed retail sales rose in May, boosting optimism about the economic outlook and healthy consumer spending. The Dow had seen a triple-digit rise early in the session, but it pared gains after optimism faded that a Greek debt deal will soon be reached when the IMF negotiating team withdrew from the Greek debt talks in Brussels and said that “major differences remain.”

💵 The dollar remained higher against the euro and the yen, as investors continued to digest U.S. data that indicates a slowly recovering economy and higher interest rates in the coming months.

📝 Twitter CEO Dick Costolo Stepping Down on July 1, as the company struggles to convince Wall Street of its growth strategy.

€ European stocks were up as Greek stocks surged over 6% on optimism that Greece can reach a deal with its creditors to receive financial aid. Eurozone officials try to impose deadline of next Thursday for Greek agreement.

📝 The 10-year Greek bond yield dropped to 11.40% and has fallen more than -80 bp from Wednesday's 6-week high of 12.21% after the ECB increased the limit on Emergency Liquidity Assistance to Greek banks by 2.3 billion euros to a total of 83 billion euros.

🇯🇵 Japanese exporters rose as the yen weakened against the dollar.

🇨🇳 Shanghai Composite index ended up 0.3% amid choppy trade as the release of April fixed asset investment, together with May retail sales and industrial production, matched analysts' expectations.

🇨🇳 China May industrial production climbed +6.1% y/y, stronger than expectations of +6.0% y/y.

🇨🇳 China May new yuan loans rose 900.8 billion yuan, higher than expectations of 850.0 billion yuan.

⛽ U.S. oil prices slipped from a six-month high on a stronger dollar and concern that the global oil glut will persist after IEA data showed Saudi Arabian May oil production at a record 10.25 million bpd and Iraq May crude output at a record 3.85 million bpd.

👑 Gold closed lower as the stronger dollar and fund selling of gold as long gold positions in ETFs on Wed fell to a 6-year low of 1.587 MT.

🌴 FCPO (RM2,292) closed little changed after trading either of the previous day's close. Slow session as lack of fresh incentives. Price remain sideways range.