4th November 2008
9.10 a.m. - Malaysian Time
The CPO ( crude palm oil ) futures for January contract open at 1599 and closed at 1666 yesterday. The highest was at 1666 and the lowest was at 1593.
In the long run, the market is still bearish but the vey very short term is bullish. So the forecast is as follows;
1) If the market opens between 1612 to 1656. Buy after the market has retraced 10 points after the opening. As usual, be careful of the false alarm. Stop loss between 10 to 20 points. If the market beats up the level between 1667 to 1674, the market may go further up. If any profits, just lock them up. If the market is to beat down the level between 1595 to 1601, the market may go down further especially if the market opens more towards the lower part of the 1612 to 1656's level. Make sure that the opening is 10 points higher than the level 1602.
2) If the market opens between 1656 to 1666. Buy after the market has passed up the level between 1667 to 1674.
3) If the market opens between 1602 to 1612. Sell after the market has retraced and passed down the level between 1595 to 1601.
4) If the market opens between 1577 to 1601. Sell after the market has moved up a 'bit' and then retraces 5 to 9 points below the opening level.
5) If the market opens between 1667 to 1691. Buy after the market has retraced a 'bit' and then moves up 5 to 9 points above the opening level.
6) If the market opens other than the above, it is your call, I still don't know how to go about entering the market at this point of time.
7) You can also look for trendlines.....if you like
8) Please refer to # 9 ( Thursday's Tips dated 26th June)
9) Also refer to #9 and # 10 ( Tuesday's Tips dated 1st July)
That's about it, guys. If you are in doubts, do contact your broker, never to contact your brother-in-laws. They are nothing but .......@#!#&*&*^% (why this brownish color just pop up? )
Have a nice trading day!!!!