September 6, 2017

TRADERS’ ALMANAC
Soybean Oil – Breakout Move
 CBOT SOYBEAN OIL FUTURES – Structurally bullish Analysts
Nik Ihsan Raja Abdullah, MSTA, CFTe
 AIRASIA – Breakout from tight consolidation
(603) 2297 8694
 HIAP TECK VENTURES – Potential breakout from “triangle”
nikmohdihsan.ra@maybank-ib.com
 CRUDE PALM OIL – Upper resistance in sight
Tee Sze Chiah
 KLCI INDEX FUTURES – Weakness still apparent
(603) 2082 6858
szechiah.t@maybank-ib.com

Market Overview Market Summaries

TECHNICAL

FBMKLCI failed to hold onto its early gains. At day’s end, the Index Changes (%) Close Momentum
benchmark index fell 3.53pts to 1,769.63, led by declines in FBMKLCI (-0.20) 1,769.63 NEUTRAL
CIMB, BAT and ASTRO. Market breadth was negative with losers DJIA (-1.07) 21,753.3 DOWN
outpacing gainers by 596 to 364. A total of 2.52b shares worth MSCI W (-0.44) 1,954.64 DOWN
MYR2.17b changed hands. It is apparent that market sentiment MSCI AP 0.14 659.53 NEUTRAL
was affected by the regional selloff on Monday amid concern over FCPO 2.25 2,767 UP
rising tensions between the US and North Korea. With US markets BRENT 1.99 53.38 NEUTRAL

ended sharply lower overnight, expect another volatile session GOLD 1.06 1,340.60 UP
USDMYR (-0.26) 4.2600 DOWN
today, with the benchmark likely to trade between 1,755 and
Malaysia

1,775 in the near-term. Downside supports are 1,748 and 1,729. (Sources: Bloomberg)

TODAY’S HIGHLIGHT: SOYBEAN OIL FUTURES DAILY HEIKEN-ASHI CHART, STRUCTURALLY BULLISH

CBOT Soybean Oil Futures established a strong support at USD30.90, forming a double bottom pattern along the
way. The breakout above “Ichimoku Cloud” in June 2017 as well as the positive DMI reading further reinforces
the positive outlook. Technically, we expect Soybean Oil to advance further. However, a positive close above
USD35.50 is needed to validate this uptrend. The following resistance is at USD38.00. Given the rally in
Soybean Oil, we expect palm oil to follow suit.

YTD Performance (% Change), Soybean Oil (Blue) vs. Palm Oil (Green) vs. Thompson Reuters CRB Index (Red)

THIS REPORT HAS BEEN PREPARED BY MAYBANK INVESTMENT BANK BERHAD PP16832/01/2013 (031128)
SEE PAGE 5 FOR IMPORTANT DISCLOSURES AND ANALYST CERTIFICATIONS
Technical Research

TRADING IDEAS

AIRASIA BERHAD, DAILY CANDLESTICK CHART (MYR3.38)

STRATEGY:
ACCUMULATE (TECHNICAL)

After consolidated in a
narrow range for the past
few months, share price
finally broke out of its
triangle pattern. We
believe a new up leg is
likely underway.

ACCUMULATION LEVEL STOP-LOSS ESTIMATED RESISTANCE ESTIMATED TIMEFRAME

MYR3.36 ~ MYR3.40 BELOW MYR3.12 MYR3.58, MYR3.99 12 weeks

HIAP TECK VENTURE BERHAD, DAILY CANDLESTICK CHART (MYR0.390)

STRATEGY:
ACCUMULATE (TECHNICAL)

Share price is
consolidating in a
“symmetrical triangle”
pattern. A breakout is
forthcoming and we
expect the candles to
charge towards the
following resistance at
MYR0.410 and MYR0.465.

ACCUMULATION LEVEL STOP-LOSS ESTIMATED RESISTANCE ESTIMATED TIMEFRAME

MYR0.380 ~ MYR0.390 BELOW MYR0.360 MYR0.410, MYR0.465 8 weeks

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Technical Research

COMMODITY & DERIVATIVES WATCH

CRUDE PALM OIL FUTURES (FCPO) ACTIVE CONTRACT, HOURLY CANDLESTICK CHART (MYR2,763)

INTRADAY TREND
EXPECTATION:

We use hourly chart to

analyse potential
movement of FCPO for
intraday trading.

FCPO rebounded but still

short of the MYR2,782
resistance. Expect another
up leg in the near-term but
a pullback is likely
thereafter.

SUPPORT RESISTANCE SHORT-TERM MOMENTUM SHORT-TERM TREND

MYR2,730 MYR2,705 MYR2,782 MYR2,835 UP UP

KLCI INDEX FUTURES, SPOT CONTRACT, HOURLY CANDLESTICK CHART (1,765.50)

INTRADAY TREND
EXPECTATION:

We use hourly chart to

analyse potential
movement of FKLI for
intraday trading.

FKLI has been consolidating

sideways after it failed to
break out above 1,768.50.
As Aroon reading turns
south, we expect FKLI to
make another attempt to
retest the lower support in
the near-term.

SUPPORT RESISTANCE SHORT-TERM MOMENTUM SHORT-TERM TREND

1,755.00 1,751.50 1,768.50 1,773.00 NEUTRAL NEUTRAL

September 6, 2017 3