LOCAL MARKET
FKLI Jan month dipped 23 points or 1.46% to closed lower at 1553. Bursa Malaysia slipped back into negative territory on Wednesday, with nearly 1,000 counters ending in the red as investors continued to sell off shares amid subdued market sentiment.
Overnight Dow Jones index surged 703 to closed higher at 43221. U.S. stocks soared on Wednesday, with all three major indexes posting their largest daily percentage gains in over two months. The rally was driven by lower-than-expected core inflation data for December and strong earnings reports from major U.S. banks. According to the Labor Department, the consumer price index (CPI) recorded its largest increase in nine months due to rising energy costs, while underlying inflation pressures showed signs of easing.
The FKLI in daily time frame broke down the support of downward channel consolidation 1563 to 1564, reaching the low at 1551.5 and see bounce back, now remain standing above 1563, if this range could sustain, we might see further buying toward the resistant at 1569 to 1572 range or further higher. Beware that the chart pattern remains bearish and we see upside could be limited. Immediate support and resistance levels are identified at 1563 and 1569, respectively.
(News Source: The Star; Reuters)
Recommend Trading Plan:
Long positions may be opened above 1563 with targets at 1569/1573 and stop-loss at 1558
Short positions may be opened below 1563 with targets at 1558/1554 and stop-loss at 1568
FCPO
FCPO Apr month contract dropped 69 points or 1.59% to closed lower at 4268. Malaysian crude palm oil futures ended lower on Wednesday, influenced by weakness in rival soyoil markets in Dalian and Chicago, along with a lack of fresh demand.
Overnight Soybean oil Mar Month rose 0.05 to close slightly higher at 46.27. Dalian’s active palm oil contract dropped 80 closed lower at 8518 on previous night session.
FCPO active traded contract switch to Apr from today onward. Tracking the mixed performance in rival oil market, the palm price could trade within a range in downside bias. In daily chart, the price opens lower on night session and broke down below the crucial support of 4285 to 4280, now serves as resistant range, the price currently hovering at the bottom of downward channel. If the price could break above the resistant line, we might see the further buying momentum, otherwise, selling likely to persist. The immediate support and resistance levels are pinpointed at 4262 and 4285, respectively.
(News Source: Reuters)
Recommend Trading Plan:
Long positions may be opened above 4285 with targets 4307/4333 at stop-loss at 4265
Short positions may be opened below 4285 with targets at 4262/4239 stop-loss at 4305
Disclaimer: This information is intended to assist professional investors. News are credit courtesy of Reuters, Nasdaq.com, Bloomberg, CNN, Market Watch, FT.com, the Star online, forbes.com, mining.com and CNBC. The information does not constitute investment advice or an offer to invest or to provide management services and is subject to correction, completion and amendment without notice. As with all investments, there are associated risks and you could lose money investing. Prior to making any investment, a prospective investor should consult with its own investment, accounting, legal and tax advisers to evaluate independently the risks, consequences and suitability of the investment.
0 comments:
Post a Comment