07/12/2010 (Comodity Online) - The refined soy oil futures opened the week on a positive note extending its previous gains on extended buying interest.

Positive trend in overseas market also lent support to the market. However, later prices declined sharply on profit taking and speculative selling ignoring the gains in international market. BMD palm oil futures rose a fresh 29-month high yesterday on supply concern.

A recent rally in soy oil futures on Indian exchanges attracted profit booking by traders and investors.

Outlook

The refined soy oil futures are projected to extend its bearish trend on Tuesday on follow through selling.

Fall in price along with rise in volume and open interest is indicating further weakness in the prices. Indian traders and investors are likely to liquidate their long positions at higher levels. Malaysian market is closed for the day on local holiday.

World oil and oilseeds market is waiting for release of Friday’s USDA monthly crop report to get fresh direction. Expectation of rise in import of edible oil in November month might result into weak trend in soy oil futures market.