Wednesday, March 24, 2010
The CPO ( Crude Palm Oil) futures for Jun contract open at 2589 and closed at 2591. The highest was at 2597 and the lowest was at 2571. The market ended higher with a white bar.
After the opening at 2589, the market immediately dropped to 2581 and bounced back to 2597, the highest of the day. At about 10.40a.m., the market started to retrace to 2576 before closing at 2582 for lunch break. In the afternoon, the market open at 2582, immediately dropped to 2571, bounced back and started to climb to 2597 before finally settled at 2591.
If you look at my forecast yesterday,see #4, and had placed a buy position here, say at 2594 , you would have definitely ended up losing your money even if your stop loss was 20 points below the buy position. Well, you can't win the all!
My forecast for today;
If the market opens;
1.1) Between 2573 to 2584. Sell after the market has retraced passing down the levels between 2562 to 2567.
1.2) Between 2590 to 2600. Buy after the market has moved passing up the levels between 2605 to 2610.
1.3) Between 2605 to 2617. Buy after the market has dropped a bit and then moves up passing 5 points above the opening level.
1.4) Between 2556 to 2567. Sell after the market has moved up abit and then falls 5 points below the opening level.
1.5) Other than the above. It is up to you.....
2)Also refer to my posting dated 11th January, see #6.
If you are not sure, just contact your...whoever...
Have a nice trading day, Mike