Wednesday - 24th December 2008
9.00 a.m. - Malaysian Time
The CPO ( crude palm oil ) for March's contract open at 1568 and closed at 1530 yesterday. The highest was at 1569 and the lowest was at 1530. A difference of 39 points.
The market open within the forecasted levels ( see #3 - sell after the market has gone up a bit and then retraces 5 points below the opening level), moved up 1 point at 10.31 a.m. and fell to 1560 at 10.32 a.m. but the upward movement of 1 point is not considered as " has gone up a bit" except if the market linggered at this levels for quite a time. The market then fell to 1557 , the lowest in the morning session, before settling at 1565 before lunch. In the afternoon, the market retraced further to finally settle at the lowest of the day, at 1530.
Theoretically, you should have been able to make some profits had you decided to short at 5 points below the opening level. But in practise, I do not think the 1 point up is considered as ' has gone up a bit '.
The market did fall further after passing down the levels between 1561 to 1568 and a black bar was formed even though the market did not open above the 1568 level as suggested yesterday.
To the Christians, Merry Christmas.
Have a nice trading day..