Monday, August 31, 2015

WTIC & CPO: Outlook as at August 31, 2015

WTIC charged back after testing the lower line of the expanding triangle ('ABCD'). In the process, it broke above its intermediate downtrend line, RR at USD40.50 as well as the horizontal resistance at USD44.00. Its next resistance levels are USD49 & USD54. For now, if it can hold above USD44, that's good enough.

Chart 1: WTIC's daily chart as at Aug 28, 2015 (Source:

The recovery in WTIC also gave impetus to our CPO to stage a rebound. The sighting of a hammer is a bullish sign. This means that CPO is likely to recover for the near term.

Chart 2: CPO's daily chart as at Aug 28, 2015 (Source:

The near term bullish outlook for crude oil & CPO would augur well for O&G and plantation stocks.

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