Thursday - 19th March 2009
8.45 a.m. - Malaysian Time
The CPO ( Crude Palm Oil ) for June contract open at 1932 and closed at 1905 yesterday. The highest was at 1948 and the lowest was at 1905. The market ended a black bar.
The market open at 1932, moved up to the highest of the day at 1948 and then retraced to close at 1936 before lunch. In the afternoon, the market open at 1935 and finally closed at 1905, the lowest of the day.
The market open within the forecasted level but did not , again, move as forecasted. So, theoritically no money was lost and gain yesterday.It seemed that the market is, again, now in the sidelines position. As I have mentioned in past postings, when this situation occurs, one has to apply the Contrarian Effect - buy when it is supposed to sell and vice versa. My forecasts for the past few days have gone 'crazy', don't you think so?
In the long run, the market is said to be in the sidelines but the very short term, the market is still bearish ;
1) If the market opens between 1915 to 1928. Sell after the market has moved up 6 points above the opening level. Be careful of the false alarm and do not forget the stop loss. The opening of the market would be more significant if the market opens more towards the upper side of the 1915 to 1928 levels.
2) If the market opens between 1929 to 1938. Buy after the market has moved up passing the levels between 1944 to 1955.
3) If the market opens between 1905 to 1914. Sell after the market has retraced and passed down the levels between 1895 to 1900.
4) If the market opens between 1871 to 1890. Sell after the market has moved up a bit and then falls 5 points below the opening level.
5) If the market opens other than the above, as usual, it is your call......what else can I say?
6) Please refer to #6 ( posting dated 12th January 2009 )
If you are not sure.........
Have a nice trading day.....
P/s Benjamin Nethan Yahu.......who is he? Invisible founder of Yahoo ? May be, who knows.