FCPO closed : 3373, changed : -44 points, volume : higher.
Bollinger band reading : side way range bound little upside biased.
MACD Histrogram : turned lower, buyer taking profit.
Support : 3350, 3300, 3270, 3250 level.
Resistance : 3420, 3450, 3470, 3500 level.
Comment :
FCPO closed recorded losses with higher volume transacted while soy oil overnight closed much lower surrendered previous day gains and currently trading lower. News wise, vegetable oil industry expert Dorab Mistry forecasting and near term lower palm oil price movement due to substantial increase of production level and price may rise later subject to U.S. raise the use of biofuel due to burdening crude oil prices.
Daily chart formed a small body up doji bar candle positioned little above of middle Bollinger band support level after market opened gap down, traded within a 43 points range bound market and closed little above opening price.
Reading remained suggesting a side way range bound little upside biased market development testing support and resistance level. Purely technical speaking, market could be having a break up or break down from the plotted triangle area. On the other hand factor to closely monitor will the be huge discount on palm oil compare to soy oil price.
When to buy : buy at support or weakness with quick cut loss and profit target.
When to sell : sell at resistant or strength with quick cut loss and profit target.
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