Wednesday, October 21, 2009

20091021 1850 DJIA EOD Daily Chart Study.

Chart wise, the Dow is facing some selling pressure to closed lower at 10,041.48 down 50.71. Trading above mid Bollinger Band and Bollinger Band width continue to enlarge shows that market still favor the upperside. MACD Histrogram turned lower marginally suggest that seller are tempted to cash in profit at this point of time. Overall market is in correction phase inside a uptrend.

20091021 1838 FCPO EOD Daily Chart Study.

Trading within a 21 points directionless ranging market, Bursa Malaysia crude palm oil futures ended 12 points lower to closed at 2168 forming a doji bar candle. Through out the day, FCPO was trading in a negative tone but some how it is being supported at the 2160-2150 level. Daily chart wise, its still trading above mid Bollinger Band shows that market still biased to the upside. However, with Bollinger Band width narrowing together with MACD Histrogram turned lower suggesting that the market could possibly trading side way range bound or even perhaps some long position covering activity could happen.
When to buy : Buy on dip or at support with larger profit target and cut loss.
When to sell :  Sell at resistant or reversal(on smaller time frame) with quick profit and cut loss.

20091021 1755 FKLI EOD Daily Chart Study. Possible Evening Star Candle.

Finally, the much awaited correction happen today after a long mountain climbing journey. FKLI closed 11 points lower at 1260 due to long position locked in profit a head of the coming Friday 2010 budget announcement forming a black candle and also a possible evening star candle stick pattern. Lots of protective stop loss order also been triggered today. 

Chart wise, FKLI still closed above the mid Bollinger Band telling us that the bull run has not end yet. Bollinger Band width still expanding but at a slower pace indicate that market could possibly turned upward but with limited upside space available. Aggresive seller determination to lock in profit today also forced the MACD Histrogram reversed downward. Overall, FKLI is doing a correction in a bullish market. With the previous over extended climbing session, it is possible
that this correction to be a substantial one.

When to buy : Buy on support with quick profit and cut loss.
When to sell : Sell on break down with quick profit and cut loss.  

20091021 1316 FKLI Hourly Chart Study. Protective Stop Triggered.

Wow, seems like there are traders that choose to cash out and walk smiling all the way to the bank. FKLI closed down 4 points lower to closed at 1267 for the first half session today. The panic sell down that push the market down to the low of 1262 apparently triggered lots of protective stops loss order. Chart wise, FKLI is trading below mid Bollinger Band telling us selling pressured the market into negative sentiment for the time being. Bollinger Band width narrowing will temporary holds the market into side way range bound. MACD Histrogram continue to fall telling us that seller won the morning battle. Overall market is still in an uptrend market with healthy correction. 

20091021 1300 FCPO Hourly Chart Study. Hold The Line !

Crude palm oil futures opened weaker this morning in response to the soy oil futures and China Dalian crude palm oil negative influenced market. At closed of the first half, price trading at below mid Bollinger Band signaling a selling mood market. Bollinger Band width remain tighter suggesting a side way range bound market. MACD Histrogram continue to sliding downward indicates that selling pressure persist due to long position covering. Volume traded are relatively low compare to previous days. Having said that, it seems that an invisible hand are supporting the crude palm oil prices to prevent it from dropping lower. This can be seen on the support line plotted on the image. Strong support still remain at 2160 level. 

20091021 Dutaland Daily Chart Study. Still Trying !

Daily chart wise, Dutaland still working hard trying to break the 0.635 resistant level but seems that the attempt still failed. Should 0.635 level break through then the next target will be at 0.68 level.

20091021 1036 Soy Oil Futures Trading Lower.

Soy oil futures traded lower currently down 0.10 at 37.37. Seller coming into the market to square off long positions. This can be seen with the MACD Histrogram getting lower forming a rounding top. Our crude palm oil also responded to this negative development by gaping down to open at 2165 down 15 point. At last looked, China Dalian crude palm oil futures market is trading down 84 points.

20091021 0944 JAKS Daily Chart Study. Still Inside A Triangle !

Looking at JAKS daily chart, it still congesting within a descending triangle. A new direction will be established when the price break out from the triangle area thus the 0.85 resistant and the 0.75 support level will be crucial for JAKS. 

20091021 0930 CIMB Reached Another New High !

CIMB just keeps on surging to the sky for new high. One thing to take notice of is that recently there are lots of topping tails appears in the candles.

20091021 0900 FBM KLCI Daily Chart Study.

Seems like market will continue to have profit taking activities today due to the fact that our KLCI yesterday closed with a doji bar candle. MACD Histrogram stayed flat shows that seller coming into the market to neutralised buyer's action. Overall the trend is still up and market still potentially move higher. The Dow ended lower last night to closed at 10041.48 down 50.71.