Trading Tips for the Day - 26 June 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, late selling closed market slightly lower yesterday after trading higher most of the session. Selling was led by long liquidation on lack of bullish conviction. Market extended gains for the 3rd consecutive day earlier following gains in CBT soyoil, China Dalian futures and weaker ringgit.

The very good 1-25 June exports also underpinned sentiment although numbers were already rumoured yesterday. Prices were 15 to 3 higher in the morning and held steady around 3 to 10 higher most of the afternoon session. The big exports in June todate and reports of lower production are supportive. Together with the introduction of export levy by Indonesia from 1st July, excessive rain in the US, and prospects of weaker ringgit, the near term outlook is positive. However, bullish conviction seems lacking with seasonal weakness from the approaching peak production months of August - October.

Technical view - the lower close after prices retraced to fill the 2280 gap left on 17 June is slightly negative. Prices may turn sideways in a 2227 - 2285 range. Ringgit ~ 3.7560 / 3.7580 vs USD.  Trend sideways ; RSI 53.23 ; support 2250 / 2220 / 2150 / 2120 ; resistance 2300 / 2330 / 2360 / 2400. 

In other news...

🇨🇳 China's Shanghai Composite down -3.46% on valuation concerns. 
Earlier in the session, the Shanghai index steadied at modest gains following news that authorities scrapped the 75% loan-to-deposit limit, which could mean more credit flows into the economy.

📝 A deal on new bailout funds for Greece was put off until the weekend, as both Athens and its creditors bet that an impending payment deadline would bring them extra concessions.

€ European stocks were up on optimism that the Greek debt crisis can finally be resolved. Eurozone finance ministers will meet later today in Brussels to look over a revised plan sent by the Greek government to stave off default after Greece and its creditors failed to reach a deal.

🇺🇸 U.S. stocks ended lower Thursday as Greece’s bailout talks with creditors appeared set to stretch into the weekend.

🇺🇸 U.S. consumer spending gained 0.9% in May, the biggest monthly rise since 2009, the fastest rate in almost six years—is the latest sign the economy is rebounding from a winter contraction.

⛽ U.S. oil prices edged back below $60 a barrel, extending losses for a second day after government data showed a surprise increase in inventories of refined fuels such as gasoline.

👑 Gold prices edged lower, as the markets awaited further news on negotiations between Greece and its European creditors. Now, $1,175.0

🌴 FCPO (RM2,264) closed slightly lower after trading higher most of the session. Selling was led by long liquidation on lack of bullish conviction. However, the big exports in June and reported of lower production are supportive. The lower close after prices retraced to fill the 2280 gap is slightly negative. Prices may turn sideways in a 2227-2285 range.

🌺 KLCI closed at 1716.81, which was the lowest since Jan 7. Foreign selling of IHH, Tenaga and TM erased a total of 6.55 points from the KLCI. 
* 2015 year low : 1706.18
* 2014 year low : 1671.82
* 2013 year low : 1597.0

** FKLI**
* 2015 year low : 1693
* 2014 year low : 1666.5
* 2013 year low : 1585.5

🌺 Ringgit dropped the most in Asia on speculation Fitch Ratings will downgrade the country as the U.S. Moves toward raising interest rate. Currently, Malaysia rank at A-, with negative outlook, will review its assessment before end of June.