Jul 21
Last week we had some good opportunity to make money by shorting FCPO Sept and Oct contracts when it triggered the sell signal after breaching the 3,518 critical levels on the intraday hourly chart. It was one of the confirmations based on Elliot Wave Theory that the previous rally was just a corrective wave. Last week, bearish breakdown signal was also triggered on the daily chart. As of last Friday closing price, FCPO rally to close near the opening price after gapped down on the opening. Let us look what holds for us in this coming week for FCPO.
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Authored by Benjamin Lee on 21 July 2008 with 3 comments.
Jul 16
I appreciate your audience. However, I will take down the site soon for a system upgrade work. I hope that all things go well so that the site will be up again in the soonest possible time. Thanks and welcome to TradeOrInvest.com.
*Update 16 July 2008: Managed to upgrade to latest version of blogging software. However two plugins got messed up. I am in the midst of fixing it. However, the blog is up.
*Update 17 July 2008: Manage to solve one of the plugin issues. Left one more to go.
*Update 28 July 2008: My Organize Series plugin was not functioning since the upgrade and therefore I will wait for the bug fix from the developer. So, for the moment, there will be no series update.
*Update 27 December 2008: Finally My Organize Series plugin is back to normal. I can and will resume my series posting. I will make use of this holiday season to write a few articles on Technical Analysis.
Authored by admin on 16 July 2008 with no comment.
Jul 14
Last Friday 11th July, FCPO closed higher at 3,575 points right above the 61.8% Fibonacci retracement line. What is the market outlook for FCPO for this coming week? Overall mid-term trend is still bearish. How about short-term trend? This week, we will take a look at two different charts for FCPO. The daily chart for FCPO is showing a short-term bullish sign whereas the hourly intraday chart shows that the intraday bearish downtrend move might not be completed yet. Today, we have three guest speakers in this post, Mr. Chart Pattern, Mr. Fibonacci and Mr. Elliot Wave.
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Authored by Benjamin Lee on 14 July 2008 with 3 comments.
Jul 10
Crude palm oil Sept 08 futures contract made a low of 3,439 before rebounding back and closed at 3,515 points. Although there is some nice profits from there but we are looking for mid-term trend for sizing our positions to capture the next big wave for CPO. Now where are we in the map of FCPO? Well, Fibonacci and trend analysis tell us a lot about the recent move of this commodity. Now, let us see and hear what story that the chart is telling us now.
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Authored by Benjamin Lee on 10 July 2008 with no comment.
Jul 08
Yesterday we saw crude palm oil futures contract breakdown from rising wedge chart pattern in the intraday hourly chart and present to us a good trading opportunity. With yesterday closing price for CPO, we are seeing a breakdown trading signal triggered in the daily chart. Does the FCPO ready to continue its downtrend from here onwards? We still need to have confirmation before we jump in and today’s opening will be a good sign. Could this be an opportunity for us to make some money?
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Authored by Benjamin Lee on 8 July 2008 with 3 comments.
Jul 07
On June 25th, FCPO touched the low of 3,492 points before rebound from the support line drawn from the bearish chart pattern of rising wedge. That amazed me again and again to see how technical analysis is useful and have been a reliable tool to make money from the financial markets. Today we will explore the FCPO to see if there is any short term profitable trade setup for us to make some good money. In this post, I will cover two different time frames for analyzing futures contract for crude palm oil. Bear in mind there are always different market trends that exist at the same moment of time.
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Authored by Benjamin Lee on 7 July 2008 with 3 comments.
Jul 03
As from yesterday Malaysia stock market technical charts, we are having a confirmed lower highs and lower lows in Kuala Lumpur Composite Index (KLCI). Malaysia has always been a net exporter of crude oil but recently has to raise its petrol and diesel prices by more than 40% and this causes unhappiness among the already angry citizens on the inability of the government to curb corruption and also the rising costs of living. Recent Malaysia general election on the 8 March 2008 has taken many people by surprises as the country was almost taken over by the opposition coalition party which they called by the name of Pakatan Rakyat. The ruling party Barisan Nasional (National Front) lost its 2/3 majority privilege that they enjoyed for 50 years. On the opening of the stock market on the 10th March, KLCI dropped more than 130 points and triggered its circuit breaker which is 10% for the first time in history. Recently there are many rumours saying that there a number of defections of the Barisan Nasional MPs to the opposition side which could overturn the ruling government any time soon. With political instability and a number of corruption cases that involved billions of dollars, there isn’t much good news ahead for Malaysia. Today the Kuala Lumpur Stock Exchange (KLSE) suspended it trading due to the computer system down. Let’s take a look at its equity and futures daily charts.
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Authored by Benjamin Lee on 3 July 2008 with 1 comment.
Jul 01
"Wait….. Wait….. Wait….. NOW!" this phrase is often heard in war movies before they strike the enemy. Patience whispers to us to wait for the right moment before striking. Patience continues its echo in nature and also in many aspects of our life too. This is the principles behind many successful people and this is one of the very important traits for investors and traders. It doesn’t matter whether you are investing for the long run or doing short term trading or even day trading, patience is the key to your success. I can’t stress enough on this. Let’s see how we could improve our investing skill and trading timing with patience as one of our virtue.
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Authored by Benjamin Lee on 1 July 2008 with 1 comment.
Jun 29
On Thursday 26 June 2008, Dow Jones Industrial Average (DJI) crashed and fell almost 360 points after crude oil futures rose sharply passing above $140 level and was told by OPEC president Chakib Khelil that crude oil prices could go up to $170 per barrel this summer. Dow loses extended to Friday when it dropped 106.91 (-0.93%) to close at 11,346.51. DJI lowest level of 11,634 in Jan 2008 was taken out by the bear and we have a confirmation in the bearish trend as in lower highs and lower lows. However the S&P 500 Index have not breach the lowest point but closed right on it. Nasdaq Composite was far from the lowest level but had broken out from the bear flag last week to continue its downtrend movement. Do we still need to question the recession in US economy? Although we have inter-market divergence and can only confirm bearish market trend for the whole of US when the S&P 500 and Nasdaq Composite break their lowest level in 2008 but I have no doubt that we are already in recession with the credit bubble burst, rising food prices and crude oil prices. The relevant question will be how long will this recession be and where is the next stop for Dow Jones.
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Authored by Benjamin Lee on 29 June 2008 with no comment.
Jun 27
I can’t wait for next week to review Hang Seng Index (HSI) as there were many things happening around the financial globe. June 26 was a brutal day for Dow Jones as it fell almost 360 points in a single day and immediately in June 27 we see the effects on the opening of Asia financial markets. Does this event shock you? Are you holding on to long position on the day before Dow crashed? Actually in my trading calendar, I do mark down June 26-June 30 as a danger zone for potential sudden big market movement. Market outlook during this danger zone period will be erratic as market can rally up or plunge down by a big percentage. If we think that market timing is foolish or near to impossible, then I would say that we lacked the attitude of a student to learn from the market. It is true that a lot of people are still skeptical on some methodologies that some technical analysts are using.
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Authored by Benjamin Lee on 27 June 2008 with 1 comment.
Jun 25
Commodities trading offer lucrative rewards that come with high risks as well. Today we will be looking at Crude Palm Oil (CPO) futures contract or FCPO for short. FCPO is traded in Malaysia derivatives market along with FKLI which is the index futures for KLCI. Contract size will be 25 metric tons with RM 1 price fluctuation per metric ton. At present moment, margin requirement for FCPO is only RM 8,000 per contract and will be revised depending on market fluctuation. We are talking about FCPO now is because we are seeing a potential trade setup forming and a likelihood of trading signal triggering anytime soon. We might be having a breakdown today itself.
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Authored by Benjamin Lee on 25 June 2008 with 1 comment.
Jun 23
Dow Jones fell 220.40 points (-1.83%) down to 11,842.69 on Friday 20 June 2008 while Nasdaq fell 55.97 points (-2.27%) to 2,406.09 points. Last week was a continuation of the downward movement after a week of short pause for the bear to catch its breath. The Dow has fallen more than 1,300 points since its 61.8% retracement from the previous downtrend leg. The news that we have been hearing all these while were more confused than we were. At one point, we were hearing that the downtrend was over and at another point that the bottom was not even near. We were tossed from the left and to the right by the market news. Are you confused? That’s the market noises you are listening to. Stick your eyeballs to the chart and don’t listen to your neighbors gossiping on stock tips. Let’s look at the chart for clarity.
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Authored by Benjamin Lee on 23 June 2008 with no comment.
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