13th January 2012, Friday (iGB)

Announcement:

In tandem with the upcoming long holiday, Bursa has increased the FCPO’s margin from RM6000 per contract to RM7000 per contract, effective next Wednesday, 18^th January 2012.

IGB

Last Done: RM2.60

Investors who are holding this stock can choose to take partial profit when the stock approaches RM2.70 (however, investors should also refer to your own profit and loss ratio) and let the remaining position ride on this upward trading. No weakness at the moment and the stock may even take over the historical high (RM3.17).

Immediate support is seen at RM2.40 level, followed by RM2.15 level and immediate resistance is seen at RM2.75 level, followed by RM3.

FKLI

Continue to Test the 1532 Level!

Since last week, the FKLI has been hovering around the Fibonacci level of 78.6% and this situation will resume until this level is being taken out convincingly. Further consolidation might give the necessary strength to the index to take over this level. No matter what, investors can only resume to take intraday position.

Immediate support is seen at 1520 level and immediate resistance is seen at 1532 level.

FCPO

Crossroads…

After 2 weeks of consolidation, will the FCPO start to trend towards south? Hard to determine at the moment and I will only make this conclusion if the FCPO dropped below 3150 level in the near future. However, with the overnight sharp dropped in both soyoil and soybean, the FCPO is expected to trade below 3200 level.

At the moment, risk averse investors should not take any overnight position until the dust settle down and for risk taker investors, investors can choose to initiate short position with the stop loss level being set around 3220 level.

Disclaimer:

The information herein was obtained or derived from the source that I believed are reliable. No liability can be accepted for any loss that may arise from the use of this report. All opinions and estimates included in this report constitute my judgment as of this date, not an invitation to buy and are subject to change without further notice.