PALM OIL PRICE FORECAST

Dear Friend & Associates, 

Our Quantitative Technical Algorithm Analysis was spot-on in predicting the Palm Oil Futures price trend for the last two weeks!

Despite minor price adjustments over that period, our technical approach managed to filter out the markets’ noise and correctly point the way of the main trend.

The Quantitative Technical Algorithm Analysis has very high and impressive strike-rate and for hedgers and traders, an understanding of its working and application is absolutely essential for trading success..

This form of cycle analysis is very suitable for crude palm oil, crude oil, forex and soya oil.

Any serious hedger or trader who desire to have a PERMENANT change on their trading this year should set themselves up for success by attending my signature program, the 1-day Palm Oil Master-Trader Tutorial (MTT) in Kuala Lumpur on 5th March 2016. (Before the KL POC 2016).

I’ve created a pretty extensive trading course that might help set you in the right direction.

Don’t just take my word for it. BE THERE and experience it for yourself.

Many palm traders from India, EU, US, China,Middle-East, Indonesia, Malaysia and Singapore have attended the MTT sessions and experience drastic changes in the way they look at the palm oil market and prospered.

For registration, programme or further details please click on icons above. We can also be contacted at  teohgm@gmail.com (phone: 012268 8121),   david@gbworks.com.my   (phone: 0122048918)

Sincerely,

G.M.Teoh

PRICE OUTLOOK FOR THE NEXT TWO WEEKS.

The Quantitative Algorithm Technical tool, the GMT Trend-Tracker has indicated as at yesterday’s close that the market is nearing its rally-tops and could enter into a price adjustment of correctional phase in the very near future.  

The GMT Trend-Tracker’s signal trigger-lines are in negative convergence as at yesterday’s close and indicated that the buy-signal that was given in mid-November has about reached it objectives. (please see chart).

In the event of a confirmation of the bearish trading signal, prices are expected to head south and test its immediate price-support around the RM2,500-RM2,450 levels in the near term. This is expected to be the new-normal trading range for in days ahead.

BMD CPO FUTURES – 3RD MONTH (WEEKLY)
GMT TREND-TRACKER – BUY & SELL SIGNALS.

Picture1CME SBO FUTURES –WEEKLY
GMT TREND-TRACKER – BUY & SELL SIGNALS

Picture2In our last report, we projected that CME SBO futures prices would rally based on the GMT Trend-Tracker trading signals. SBO prices has since moved higher and traded near its recent-highs at the US cent 32.50 cents.

The GMT T.T. remained in positive divergence and suggested that upward rally is still intact.

Technically, the prospects remains good for prices to move higher to re-test it most-recent highs at 32-33 cents before they enter into a downward adjustment.

NYMEX – LIGHT SWEET CRUDE –APRIL 2016

Picture3.png

The price of NYMEX Light Sweet Crude Oil remained in positive trend following the triggering of GMT Trend-Tracker buy-signal some six days ago. The May Crude Oil futures prices have an immediate upside-target at USD 36-38 per barrel.

 FOREX MYR/USD

Picture4The GMT Trend-Tracker buy-signal was triggered five days ago and stayed constructive during yesterday’s close.  Following its recent recovery, the MYR has once again weakened against the USD. Continuation of the bearish momentum would likely take the MYR back to 4.25-4.30 to the US dollar.

FOREX IDR

Picture5.pngAfter having reached its best levels five days ago, the Indonesian rupiah has turned weaker and ended yesterday in a slightly positive note. As at yesterday’s settlement, the GMT T.T. trading signal gave the sell-signal and indicated that the IDR would strengthen further against the USD.

M’SIAN CPO MONTHLY OUTPUT- STOCK – PRICE

Picture6The Malaysian CPO production for January 2016 has fallen sharply and this El Nino infected production pattern is now confirmed to extend into at least the early-part of the second-quarter of 2016.

Palm oil stocks are clearly in downward trend and CPO futures prices has managed to hold above the RM2,550 level in anticipation of further reduction in output and stocks. Ideas that the sluggish exports seen over the last two months would pick up remained a supportive factor.

I believe a simple, historically tested and proven, trading edge with well managed risk parameters is the foundation for consistent hedging and trading success.

Looking forward to seeing you at the 1-day Palm Oil Master-Trader Tutorial (MTT) in Kuala Lumpur on 5th March 2016. (Before the KL POC 2016).

Profitably Yours,

G.M.Teoh