Wednesday, August 30, 2017

20170830 1914 FCPO EOD Daily Chart Study.

FCPO closed : 2706, changed : -7 points, volume : higher.
Bollinger band reading : profit taking upside biased.
MACD Histogram : turned negative, buyer reducing position.
Support : 2700, 2670, 2638, 2600 level.
Resistance : 2735, 2766, 2782, 2800 level.
Comment :
FCPO closed marginally lower with improved volume changed hand today while Dalian palm olein contract and soybean oil futures trading weaker after overnight fall while crude oil price continue to test lower after 2 days declined.
Price drifted between positive and negative zone as traders reducing position ahead of the long weekend holidays with anticipation on weak export data from export cargo surveyor and higher month end inventories.
Daily chart study still suggesting a pullback correction upside biased market development after price tested above higher Bollinger band. A break below 2700 level would see price testing lower level near middle Bollinger band.
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 or sell at break down of middle bollinger band with larger cut loss and profit target.

20170830 1838 FKLI EOD Daily Chart Study.

FKLI closed : 1765.5 changed : +10 points, volume : lower.
Bollinger band reading : pullback correction downside biased.
MACD Histogram : recovering, seller closing position.
Support : 1755, 1751.5, 1746, 1733, 1727 level.
Resistance : 1768, 1777.5, 1787, 1792, 1797.5 level.

Comment :
FKLI recovered higher on expiry after yesterday break down from a 2 weeks range bound congestion ahead of the long holidays with September contract doing about 13 points discount compare to cash market that closed higher.
Major European and Asia indexes also recovered as fear on Nouth Korea missile test recede but the tension between US and North Korea remained the main factor that market players monitor closely in coming week.
From technical view, FKLI daily chart is having a pullback after yesterday oversold below lower Bollinger band within a downside biased market development. Should market continue to recover higher next week back into the previous range bound zone will resulted a false break down but if market break and stay below 1750 level would see market testing lower support.
When to buy : buy at support or correction with quick cut loss and medium profit target.
When to sell : sell at resistance or pullback with quick cut loss and quick profit target.