Look for the key support at 1090.39 for KLSE

Bear continue to attack as shown in KLSE daily technical chart. We now look for the key support at 1090.39 in near term.

Market tone: weak

FKLI potential to test 1045.5

FKLI remains in bearish mode with 1045.5 potential to test in near term.

Market view: hold short with buy stop at 1122.

3430-3435 is likely to test!

FCPO prices dropped for two consecutive trading days had dampened further the immediate daily technical outlook. Thus, 3430-3435 is likely to test in near term market. For upside, look for the resistance at 3595-3614 (gap left over on 7th July, 2008).

Market tone: weak

FCPO near term in consolidation mode before down trend resume

This drop abit too steep after yesterday's gap down. Near term may want to rebound and consolidate before down trend resume. Immediate resistance put at the gap between 3595-3614. While, support pegged at 3430-3435

KLSE remains bearish mode

Market tone: remains weak

FKLI failed to cover gap

FKLI failed to cover gap and violated the 1100 levels had turn bearish mode as shown in above hourly chart. As for now, look for the immediate support at 1045.5 (low since 11th Mar, 2007). For upside, immediate resistance is at 1121.5

Market view: turn short with buy stop at 1122.

Trader's Highlight

DJI-NEW YORK, July 7 (Reuters) - Wall Street closed lower on Monday after a wave of concern over mortgage providers' capital adequacy spoiled an early stocks rally triggered by a plunge in commodity prices led by oil. In volatile trading, investors bailed out stocks after a brokerage report that Fannie Mae and Freddie Mac may need to raise more capital. The report by Lehman Brothers sparked weakness throughout the financial sector. The Dow Jones industrial average <.DJI> fell 56.58 points, or 0.50 percent, at 11,231.96. The Standard & Poor's 500 Index <.SPX> fell 10.59 points, or 0.84 percent, at 1,252.31. The Nasdaq Composite Index <.IXIC> fell 2.06 points, or 0.09 percent, at 2,243.32.

CBOT-CHICAGO, July 7 (Reuters) - Chicago Board of Trade grains and soy complex closing trends on Monday.

SOYBEANS - July down 69 cents at $15.89 per bushel, new-crop November down 70-cent limit at $15.61. Market tumbles despite news Argentina lawmakers on Saturday approved a farm export tax hike.Informa pegs U.S. soy crop at 3.019 billion bushels, below USDA's current forecast for 3.105 billion.

SOYOIL - July down 2.44 cents at 64.89 cents per lb. Spillover weakness from soybeans and crude oil.

NYMEX-NEW YORK, July 7 (Reuters) - U.S. crude futures dropped sharply on Monday as traders booked profits after last week's record above $145 a barrel and on optimism that Iran and the West may show flexibility in resolving an impasse over Iran's nuclear program. August crude settled down $3.92, or 2.7 percent, at $141.37 a barrel, trading from $139.50 and $145.68.

FCPO-KUALA LUMPUR, July 7 (Reuters) - Malaysian crude palm oil futures dropped more than 3 percent on Monday as a build-up in supplies and weakening crude oil prices weighed on the market. The benchmark September contract on the Bursa Malaysia Derivatives Exchange settled down at 3.25 percent, or 118 ringgit, to 3,512 ringgit ($1,076) a tonne.

Regional Equities-SINGAPORE, July 7 (Reuters) - Singapore and battered Philippine stocks rose on Monday, tracking a rise in Asian markets.

Thailand <.SETI> fell 1.7 percent, dragged by energy shares as oil prices eased, while Malaysia <.KLSE> shed 0.6 percent to close at another 16-month low amid political uncertainties.

DJI remains weak

DJI extended its bearish mode as shown in daily technical chart. for near term, look for the support at 11030 (low since 28th May, 2006). For upside, resistance is at 11670.