Tuesday - 1 July 2008
9.55 a.m. - Malaysian Time
The CPO ( crude palm oil ) for September contract open at 3601 and closed at 3598. The highest was at 3629 and the lowest was at 3580.
As I mentioned in my last Friday posting, the market would make a new direction again if the level 3575 were to be broken. In fact, the market managed to break the level and settled above 3590 on that particular day itself.
In a ver very short term, I would say that the market is bearish. My forecast for today are as follows;
1) If the market opens between the level between 3590 to 3620. Sell after the market has moved up a "bit' after opening. If the market manages to beat up the level between 3630 to 3637, the market may move further up and a white bar may be formed today or at least a part of the trading day today. This would be promising if the market opens more towards the upper end of the level between 3590 to 3620. If the market opens and beats down the level between 3572 to 3580, the market may retrace further down.This would be more promising if the market opens more towards the lower end of the level between 3590 to 3620.
2) If the market open between 3620 to 3630. Buy after market has moved up beating the level3630 to 3637 ( see the bold letters as in #1 )
3) If the market opens between the level between 3580 to 3590. Sell if the market has beaten down the level between 3572 to 3580 ( see also the italic bold letters as in #1as above )
4) If the market opens between the level 3630 to 3657. Buy after the market opens and falls a "bit" or buy after the market has fallen a "bit" and moved up 3 points above the opening level.
5) If the market opens between the level 3555 to 3580. Sell after the market opens and moves up a "bit" or sell after the market has moved a "bit" and falls down 3 points after opening level.
6) If the market opens above 3657. I don't know, it is your call
7) If the market opens below 3555. It is up to you, your call.
8) Please refer to my last posting on Thursday's Tips ( see #9)
9) If , after opening, the market moves up /down in a very fast and in a big distance without moving up/down back to pass up/down the opening level, the market may give a signal that it would continue its direction, just be careful.
10) The word "bit" is relatif, please refer to my previous postings
That's about it. If not sure contact your broker/dealer.
Have a nice trading day ahead.