FCPO Outlook for 24 Feb 18
Short-term trend on FCPO - Daily Chart: Neutral
Gap opening and continuous rally of FCPO prices on 24 February 18 was fuelled by relentless drought in Argentina which sends supply crunch in the global soybean market.
However, Dato’ Zakaria Arshad commented that good palm output and strong ringgit will keep CPO prices weak.
Technically speaking, prices has been in a sideway range since mid-December 2017 (2450-2550). This sideway range is confirmed by Stochastics where it has fluctuated between 20 and 80.
Based on Ichimoku Kinko Hyo outlook, FCPO is still bearish where prices has been trading below Kumo. Nonetheless, recent price movement shows that there is a buy momentum where prices has been trading above Tenkan and Kijun-sen.
A flat Kijun-sen line and Kumo above the price indicate that a movement between these area for the short term will continue until there is a movement above the Kumo or below Tenkan or Kijun-sen.
Besides that, there is no Ichimoku reversal sign which strengthen our argument that price will likely to continue sideways.
Nonetheless, our Elliot Wave Count favours a further downside movement to complete Wave 3 of (3) of ③.
2400-2450 price levels now act as a good support zone.
All charts powered by Metastock
Get a free trial or purchase a copy today via this link
For any discounts or promotional inquiry:
Contact us here
If you find this article useful do let us know. Email us if you need more coverage on certain topic.