FCPO Commentary on 06/03/09

FCPO 3rd month May Futures contract rise marginally RM4 higher to close at RM1906 as compare to previous trading session with 6099 lots traded in the market. CPO price was traded wild during the trading days as soybean oil and crude oil retrace after strong overnight closing.

Technically, CPO price seems topped around resistance levels at RM1915; 78.6% Fibonacci retracement levels. We expect CPO price would have further profit taking activities in the coming trading session provided support levels at RM1890 and RM1860 were not violated. However, traders were still advice to hold long position in the coming trading session while be cautious around resistance levels around RM1920 and RM1945 regions.