Trader's Comment: CPO futures continue its rally to hit intra day high but lose steam in late trading

CPO futures continue its rally to hit intra day high of 1692 but lose steam in late trading as weekend profit taking activities emerged. Afternoon session was basically underpinned by positive technical outlook in near term and also anticipation of good export figure for the month of November compare to October. Speculative buying activity emerged after prices broke 1660 and continue to ramp up to 1692 in the early part of the afternoon session. It then slid down to hover between 1670-1685 before a late wave of profit taking activity which sent market to dip to 1630 and settled RM28 lower at 1632. Benchmark Feb09 initially opened RM10 lower at 1650 and slid to intra day low of 1625, due to some profit taking activity coupled with easier Asian time NYMEX crude oil. It then traded at the tight range of 1630-1645 till the end of morning session.