19/07/2010 (Commodity Online) - Fundamental Analysis - NCDEX August Refined soy oil futures surged slightly on 4th consecutive day and breached its contract high 460 levels on account of firm global market.

Refined soy oil futures at Chicago Board of Trade surged due to hot and dry weather along with rally in other grains. Weakness in US dollar also added bullish tone.

Crude palm oil futures at Bursa Malysia Derivative Exchange, surged on account of firm soy oil futures at CBOT and better export figures of Palm oil during the period of July 1-15 as compared to previous months.

Spread between NCDEX and MCX August contract is Rs - 3.05 against previous day of Rs -2.70 per 10 Kg.

CBOT August soy oil futures ended higher at $ 38.31 cents/pounds on Friday, down 0.28 cents/pounds as compared to previous close.

Technical Analysis
Prices closed above its 10 day & its 20 day EMA, which indicates bullish market sentiments.

14-Day RSI is at 82.24, which is in overbought zone.

Outlook
In the Intraday perspective, Traders should trade cautiously at prevailing prices, there is possibility of profit taking today after sharp rise in the last 4 trading sessions. However, in the long term perspective, huge stock of imported edible oil and better carry over stock of oilseeds this year as compared to last year.