MARKET DEVELOPMENT
Commodity Weekly Report May 19 2013
Commodity Weekly Report May 19 2013
20/05/2013 (Borneo Post) - The Dow Jones Average Index (DJIA) closed at new historical high on Friday at 15,354 levels.
The market was pushed up by leading indicators that showed 0.6 per cent gain for the outlook in coming three to six months.
Japan showed recovery growth in the first quarter (Q1) by 3.5 per cent annualised gains and rising Nikkei stocks have been pulled up by weakening yen.
The eurozone data were pretty neutral due to a consecutive decline in gross domestic production (GDP) for sixth quarter in Q1.
However, exports rose 2.8 per cent in March with trade surplus 18.7 billion euros.
Gold prices closed lower on weekly basis at 1,355 regions.
From the chart patterns, we reckoned a consolidation would be coming soon as the trend moves inside the range of 1,320 to 1,420 regions.
However, we expect the market to whipsaw at bottom prices and might test 1,300 benchmarks before retracing up to immediate resistance at 1,380 areas.
Fundamentally, we expect the yellow metal to face selling pressure for global funds that are moving out to equity markets.
WTI crude prices rose on Friday due to gains in leading indicators despite new heights in dollar rise.
This week, we predict the trend would be capped by 98 resistances while selling interest would begin to emerge at 97.5 areas.
Keep a lookout for the weekly crude oil inventories as the contracting number had been acting as a factor to push up the prices.
Technically, we have identified the 94.2 supports to be resilient in countering the bears in case the trend declines.
Crude palm oil futures (FCPO) on Bursa Derivatives closed in mixed sentiments on Friday due to adjustment in positions among traders. The switch-over to new active month in August contract closed at 2,336.
This week, we foresee the market will hold at 2,280 as immediate support and prone to ascend.
Breaking the immediate 2,380 resistances could drive up to 2,420 regions.
Downside breaking below 2,280 will signal a further liquidation to 2,200 areas.
Disclaimer: This report is written for general information only. No liability by the writers, publisher or any third party involved in the distribution of this work. Dar Wong and Chong HC are the market strategists in APSRI on CPO markets. Wong has 22 years of trading and hedging experiences while HC traded for four years and now coaches institutional customers. They can be reached at www.traderpromaster.com.
The market was pushed up by leading indicators that showed 0.6 per cent gain for the outlook in coming three to six months.
Japan showed recovery growth in the first quarter (Q1) by 3.5 per cent annualised gains and rising Nikkei stocks have been pulled up by weakening yen.
The eurozone data were pretty neutral due to a consecutive decline in gross domestic production (GDP) for sixth quarter in Q1.
However, exports rose 2.8 per cent in March with trade surplus 18.7 billion euros.
Gold prices closed lower on weekly basis at 1,355 regions.
From the chart patterns, we reckoned a consolidation would be coming soon as the trend moves inside the range of 1,320 to 1,420 regions.
However, we expect the market to whipsaw at bottom prices and might test 1,300 benchmarks before retracing up to immediate resistance at 1,380 areas.
Fundamentally, we expect the yellow metal to face selling pressure for global funds that are moving out to equity markets.
WTI crude prices rose on Friday due to gains in leading indicators despite new heights in dollar rise.
This week, we predict the trend would be capped by 98 resistances while selling interest would begin to emerge at 97.5 areas.
Keep a lookout for the weekly crude oil inventories as the contracting number had been acting as a factor to push up the prices.
Technically, we have identified the 94.2 supports to be resilient in countering the bears in case the trend declines.
Crude palm oil futures (FCPO) on Bursa Derivatives closed in mixed sentiments on Friday due to adjustment in positions among traders. The switch-over to new active month in August contract closed at 2,336.
This week, we foresee the market will hold at 2,280 as immediate support and prone to ascend.
Breaking the immediate 2,380 resistances could drive up to 2,420 regions.
Downside breaking below 2,280 will signal a further liquidation to 2,200 areas.
Disclaimer: This report is written for general information only. No liability by the writers, publisher or any third party involved in the distribution of this work. Dar Wong and Chong HC are the market strategists in APSRI on CPO markets. Wong has 22 years of trading and hedging experiences while HC traded for four years and now coaches institutional customers. They can be reached at www.traderpromaster.com.