Fcpo wrap....looking for direction...range trading this week

SO losses during MERDEKA holidays negated, some not all, fcpo recent bound momentum. And halting an immediate attempt at 2600.


No major breakdown today, at the mid range of its consolidation band of 2500-2600 but back to downward-bias zone, < 2570.

At a glance....FBM end-mth closing lvl ...

Nearing the highest closing point on monthly basis 1445.03, Dec 2007.

Fkli wrap....late kick again on fbm 4p jump....

A flurry of buying in the early half of AM on GLC leads, losses some steam and defensive play in PM session but fbm.fkli managed stay in +ve territory. Fbm stuck under 1430 in PM before a 4p jump in the preclosing phase pushed it back above 1430, causing fkli to head higher again from 1426 as sellers cut lost again on fbm moves.

External factors remains all the same throughout the day – recovery mode from Tues’s losses

Bad news for retails, mkt is getting stronger !. Above 1425 is deemed bullish for this week, targeting 1450. In the meantime, selling is likely to be limited to intra-day basis with active bears sidelines as long as mkt stays above 7SMA.

At a glance : Aug performance....fbm going for top index in 2010?

Corn top the list but soybean near the bottom, a deviation from their usual close relationship. CO at the bottom...bad news for MAS , good news for AIRASIA!. One Americano, black ( no sugar)

Fbm is the hero....running for budget or election ?

Weak US job data pull kwailow bourses lower. Talks of double-dip or just summer blues - ther verdict is not out yet.

A mixed mth for commodities. Coffee at multi years highs. Positive cues include weather, safe haven bet.

At a glance : BMD mthly vol data..

A slow mth for FKLI, vol -16% from a mth ago. First 8 mth vol -13% vs. the same period in 2009.

Fcpo compensated fkli's declines wth a near record vol. But open interest remains flat, meaning intra day speculation haven. Aug vol +16% from July. First 8 mth vol is dw 6%.

With fkli declines, BMD ytd vol is dw 9% vs the same period last year.

Morning start...fkli weak 1420 fcpo weak 2540-50

DJ +5. Europe +0.5%..a bit of recovery after Mon's 1% losses on confidence data and rising house prices.


8.20 : DJ futs +30. Regional mixed, with NK still hangover from yesterday's 3% drop. Kos +0.5%. Commodity off Mon's low but flat.

fkli : seen pricing in a min of 0.5% pullback amid Tue's bears tone. Fkli is seen taking 20-25 till further cue from fbm. If fbm < 1420, a pullback towards 1415 is expected. While bullish tone will only take a fresh breath if fbm crosses above 1423.

fcpo : pricing a net SO -2% , CO -4%. Fcpo is seen retreating back towards 2550s, halting an attempt at 2600. 7SMA will serve as a strong support today/