Commodity Trading Tips for Crude palm Oil by Kedia Commodity

Crude palm Oil settled flat as prices pared gains seen due to firmness in spot demand and overseas prices. Prices of palm oil were up after Malaysia palm oil exports during Jan 1-31 rose 8.13% compared to a month earlier on strong demand from Indian & Subcontinent and Middle East, data showed. Malaysia palm oil exports climbed to 1.17 million tons during Jan 1-31 compared to 1.08 million tons for the same period a month ago, DowJones reported citing data from Intertek, a private surveyor. India's palm oil imports from Malaysia during Jan 1-31 rose by 3.77% to 222,100 tons as compared to 214,025 tons imported during Dec 1-31. Indonesia Palm and kernel production fell 3% to 34.5 million tons in 2016 from a year earlier, Indonesian Palm Oil Association GAPKI, says in a statement. CPO output dropped by 3% to 31.5 million tons in 2016 on yearly basis, Gapki said. Indonesia will set its export tax for crude palm oil (CPO) in February at $18 per tonne, up from $3 per tonne this month, the country's trade ministry said. The tax will be increased as the government's reference export price for crude palm oil is seen rising above a threshold of $800 per tonne, the ministry said in a statement. The government's price reference is set at $815.52 per tonne for next month. Technically market is under fresh selling as market has witnessed gain in open interest by 6.34% to settled at 3369 while prices down -0.1 rupees, now CPO is getting support at 580.7 and below same could see a test of 579.4 level, And resistance is now likely to be seen at 583.6, a move above could see prices testing 585.2.

Trading Ideas:

# CPO trading range for the day is 579.4-585.2.

# Crude palm oil settled flat as prices pared gains seen due to firmness in spot demand and overseas prices.

# Prices of palm oil were up after Malaysia palm oil exports during Jan 1-31 rose 8.13% compared to a month earlier on strong demand.

# Malaysia palm oil exports climbed to 1.17 million tons during Jan 1-31 compared to 1.08 million tons for the same period a month ago

Crude palm oil prices in spot market dropped by 0.10 rupees and settled at 587.60 rupees.