FCPO- Its A New LOW, And Its Not Over Yet.
Palm oil futures dropped to new monthly low yesterday, marking a stronger than expected Bearish momentum. This massive Sell-off might due to panic Long covering by those bargain hunters that thought it will be a good idea to Buy anything at low price. Yesterday, bargain hunters paid the price as FCPO Oct continue to go down, hitting low at 2049. That was 60 points Sell-off in a single day, the market is telling you something and I do not think it is telling you to Buy. But who cares, that is how market moved, none of the traders think the same, everyone has their own mind, worse their own opinion. It is a progress for the FCPO to went down yesterday, it is good for those trend hunters because this might mean a good sign for a down trend as benchmark month has break down below the previous major range period. No one knows where does this new break down will take us, a prolong down trend perhaps. I do hope so it would give us another one or two hundreds points down from here. The points here is, market can go lower than where it stop yesterday.
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