Tuesday, 21st Oct 2014. Palm oil futures is trading below the previous support range at around 2,136 level but kept on staying there for the moment, Soy oil getting weaker. Other news to follow.
"- U.S. equity investors began the week on an optimistic, albeit cautious, note on Monday, with gains in broader markets led by defensive sectors such as consumer staples and utilities. Monday’s positive movement in the Dow industrial comes even as one of its major components, IBM, posted disappointing quarterly results, pushing shares of the tech giant lower and dragging down the broader index. The Dow Jones Industrial Average DJIA, +0.12% closed 19.26 points, or 0.1%, higher at 16,399.67. The blue-chip index is down 1.1% since the start of the year. The S&P 500 SPX, +0.91% gained 17.25 points, or 0.9% to 1,904.01. The benchmark index fell below its 200-day moving average last Monday and still remains a few points below that key level. The Nasdaq Composite COMP, +1.35% rose 57.64 points, or 1.4%, to 4,316.07, led by gains in biotech and internet stocks."
"-Stocks in Tokyo staged their biggest rally in 16 months on Monday as investors bargain-hunted despite lingering concerns about global growth that sparked volatility in markets last week. After sliding 5% last week, the Nikkei Stock Average NIK, -0.57% rose 4.0% to 15,111.23. The index had hit correction territory on Friday, having fallen more than 10% from a peak in late September. The market also rallied on news that Japan’s Government Pension Investment Fund, the world’s largest public pension fund with some $1.21 trillion in assets, is working on raising its portfolio allocation devoted to domestic stocks to around 25%. There was a scramble to cover short positions, pushing shares higher."
FCPO- Might Be Looking At Equally Matched Bulls And Bears
Palm oil futures had break below the major support level at around 2,136 last week but manage to stay afloat around this level for the moment. Even though Soy oil is continuing to record lower prices, palm oil futures is still manage to descend slowly than expected this week. In any market, a downforce or Bearish move should be swifter than uptrend but not in this case as there was still some Bulls influence throughout the trading session. I am starting to think Bears are not that aggressive for this particular downside and it is taking its time too long to descend or maybe it is just me wondering when is the next new low would be form. By looking at where we are right now, the Jan contract does break down from previous major support but manage to stay up so far, making this particular move a guessing game. Most of you may ask is this downside finished ? It is likely to be over if the Jan contract manage to breach above 2,150 level and follow by 2,180 level anytime this month. If it does that, we are likely moving into a ranging market condition that range within 2,100 ~2,223 area. More upside is possible if the upper range or major resistance above 2,223 level is breach. By that, most long term trader might want to consider taking Long positions as the market condition has changed. For today, the benchmark Jan contract is likely open slightly lower judging from lower Soy oil price compare to yesterday palm oil session closed at 6.00pm GMT. The Dec soy oil was traded at 31.71 cents per pound as the time of writing.
Daily Pivot Point
R2=2145
R1=2138
S1=2118
S2=2105
Disclaimer: Information and opinions contained in this report are for educational purposes only. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness.
0 comments:
Post a Comment