Wednesday, December 16, 2009

20091216 1820 FCPO EOD Daily Chart Study.



Stronger commodities price push FCPO price to closed higher at 2587 up 57 points with supportive volume transacted. At closed, the daily candle stayed near the upper Bollinger band = the downward correction has ended with possible upward movement resume. Bollinger band with getting narrower = market upside is temporary limited to the upper Bollinger band, may go side way from there before the band width started to turn outward. MACD Histrogram recorded higher reading = buyer has returned back to the market. With the underlying strength gathered after downward rest correction of the uptrend market, expecting a trade upside biased with immediate target/resistant at 2606 followed by 2651 level.
When to buy : buy at support/weakness/break up with larger cut loss and profit target.
When to sell : sell at resistant or strength with quick cut loss and profit target.

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