31/10/2017

FCPO Jan 18

Yesterday Close: 2840

Y

FCPO rose to 1.5 months high, tracking gains in Soyoil market. A stronger export outlook and weaker than expected production growth were other factors supporting the price. Soyoil ended lower yesterday reacting to the concern of US harvest progress and South America’s soybean planting weather. Meanwhile Dalian palm Olein with little changed. Full month FCPO export data by ITS to be release on today and market awaiting MPOA and SPPOMA full month production to be release in coming days.

In the daily chart, yesterday price closed in “doji” candlestick pattern, represent indecision from buyer and seller. In the hourly chart, trend continue to move higher high and higher low. While RSI continue to move lower high suggesting the buying momentum is slowing down. This divergence remained but without price confirmation.

Price Level to monitor today:

Resistance 2855 2883

Support 2827 2819

Recommend Trading Plan for Today:

1. Buy if price higher than 2855, target 2883, stop 2827

2. Not Recommend for selling unless price trade below 2810.

Margin requirement (per lot)

Intraday     RM 2500

Overnight  RM 5000

Spread       RM 1000

Disclaimer: Idea for sharing, trade at your own risk